In a newly released personal account, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he revisits the chaotic period of Greece's debt drama.
An Unconventional Choice
In Tsipras's recollections, he selected that maverick economist Varoufakis to be the finance minister mainly because of the latter's global profile and his “extremely attractive” skills as a communicator.
“In reality, he was, in reality, more like a celebrity rather than an economist,” recalled Tsipras.
Clashing Priorities
The former leader alleges that his finance chief possessed his own agenda that involved advancing Varoufakis's publications and experimenting with his theories using the nation instead of truly advocating its economic stability.
Tsipras explained that those discussions to avoid bankruptcy were “not only a method of achieving a better deal for Greece. They were a test, an historic chance to demonstrate the validity of his ideas.”
Critical Talks
During volatile discussions, the country found itself dangerously close to leaving the eurozone.
On the line was both the country's destiny but also the severe austerity policies required in return for financial aid from international creditors.
Failed Options
Efforts to find financing elsewhere, including a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum and U-Turn
That summer, the punitive conditions were put to a popular referendum, a move which threw the EU into a deeper existential crisis.
Although the referendum was won resoundingly by those against austerity, the prime minister had little option to reject its outcome and negotiate a bailout package with creditors that turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the figure who drew publicity, who graced the front pages of magazines globally … it seemed he relished his new role.”
After the minister outlined a backup strategy involving establishing a parallel currency and issuing vouchers to pensioners, Tsipras knew it was the end questioning Varoufakis: “Is this for real?”
Lasting Criticism
Within the memoir, Tsipras asserts that Varoufakis had proved himself to be “unfit for an agreement demanding complex and delicate handling.”
Tsipras also wrote that Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, and helped hardliners who were advocating a Greek exit from the euro.
The account of history has provoked fury and shock in some quarters, while Varoufakis has maintained a conspicuous quiet on the matter.
