In a freshly published autobiography, titled Ithaki, the former prime minister Tsipras does not hold back while he reflects on that turbulent era of Greece's financial crisis.
An Unconventional Choice
In Tsipras's recollections, Tsipras chose the unorthodox economist Varoufakis to be his treasury head largely because of his global profile along with his “extremely attractive” skills when it came to public orator.
“In reality, he was, truthfully, more of a personality and less of an economic expert,” stated the 51-year-old.
Clashing Priorities
Tsipras suggests that his finance chief had a personal motives that involved promoting his books as well as experimenting with his economic models on the nation rather than truly advocating its financial survival.
He explained how the discussions to stave off insolvency became “not just a method of achieving improved terms for the country. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself dangerously close to leaving the single currency area.
At stake lay both Greece's destiny but also the harsh austerity policies demanded in exchange for financial aid from international creditors.
Unsuccessful Alternatives
Efforts to secure financing elsewhere, including a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country was equivalent to tossing cash into the garbage, Putin is reputed to have told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, those excoriating bailout terms were put to a public vote, a move which threw the EU into deeper crisis of identity.
Although the vote was carried resoundingly by those against the cuts, the prime minister had little option but to ignore the result and agree to a bailout package with foreign lenders that proved to be more severe.
Final Straw
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the man who attracted publicity, who graced the front pages of magazines globally … he gave the impression he was enjoying the spotlight.”
When the minister proposed a contingency plan involving creating a parallel currency as well as distributing vouchers to pensioners, Tsipras knew it was the end and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the memoir, the author concludes that his former ally demonstrated himself “unfit for a deal demanding intricate and sensitive handling.”
He also wrote how Varoufakis's aggressive style made him increasingly isolated among peers, endangered the country, and helped hardliners who were pushing for a Greek exit from the euro.
The account of history has provoked anger and stunned disbelief among certain groups, while Varoufakis has so far maintained a deafening silence on the matter.
