Within his recently unveiled personal account, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches as he reflects on the chaotic period during Greece's economic turmoil.
An Unconventional Appointment
In Tsipras's recollections, he chose the maverick economist Varoufakis as the finance minister largely because of his international reputation and Varoufakis's “extremely attractive” skills as a communicator.
“He was, truthfully, more like a celebrity rather than an economist,” stated Tsipras.
Conflicting Priorities
The former leader claims that Varoufakis possessed his own agenda that included advancing Varoufakis's publications and testing out his own economic models using Greece instead of truly advocating the country's financial survival.
He explained how those negotiations to prevent insolvency became “not only a way to secure improved terms for the country. They were a test, an historic opportunity to prove the validity of Varoufakis's theories.”
Critical Talks
Amid volatile discussions, Greece came dangerously close to exiting the single currency area.
On the line was both Greece's future but also those punishing cutbacks demanded in exchange for rescue loans by foreign lenders.
Failed Options
Attempts to secure funds elsewhere, including a desperate appeal to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting Greece was tantamount to tossing cash into the garbage, Putin reportedly informed his Greek counterpart during their meeting.
Referendum and Reversal
That summer, the punitive bailout terms were subjected to a public vote, a move which threw the EU into a deeper existential crisis.
Although the vote was carried decisively by voters who opposed austerity, the prime minister had little option but to reject its outcome and negotiate a bailout package with foreign lenders that turned out to be tougher.
Final Straw
The ex-PM revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who attracted publicity, who appeared on the covers of publications globally … he gave the impression he relished the spotlight.”
After Varoufakis outlined a contingency plan involving establishing a parallel currency as well as issuing vouchers to retirees, the leader said he realised it was the end questioning him: “Can you be serious?”
Enduring Rebuke
In the book, Tsipras concludes how his former ally demonstrated himself “unsuitable for a deal that required complex and delicate handling.”
He further wrote how Varoufakis's aggressive style made him increasingly isolated among peers, put Greece at risk, and helped hardliners that were pushing for a Greek exit from the euro.
The retelling of events has been met with anger and stunned disbelief among certain groups, while the former minister has so far maintained a conspicuous quiet regarding these claims.
