Within his newly released memoir, named Ithaki, the former premier Alexis Tsipras does not hold back while he reflects on the chaotic period of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's account, Tsipras appointed that maverick economist Varoufakis to be his finance minister largely due to his international reputation along with Varoufakis's “extremely attractive” abilities when it came to speaker.
“He was, actually, more of a celebrity rather than an economist,” stated the 51-year-old.
Conflicting Agendas
Tsipras claims how his finance chief had a personal motives that included promoting his publications as well as testing out his theories on the nation instead of genuinely advocating its economic stability.
He wrote that those negotiations to avoid bankruptcy became “not only a method to secure improved terms for Greece. They were a test, a monumental chance to demonstrate the truth of Varoufakis's theories.”
Critical Negotiations
Amid tense discussions, Greece came dangerously on the brink of exiting the single currency area.
On the line lay not only Greece's future and those harsh cutbacks demanded in exchange for bailout funds from foreign lenders.
Failed Alternatives
Efforts to find funds from other sources, such as an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart during their meeting.
Public Vote Followed by Reversal
That summer, the harsh bailout terms were subjected to a public vote, a move which plunged Europe into a further existential crisis.
Although the vote was carried resoundingly by voters against austerity, Tsipras had little option but to reject its outcome and negotiate a rescue deal with creditors that turned out to be tougher.
Final Straw
The ex-PM claimed that he started questioning his finance minister quite early on.
“He was the face of the talks, the man who drew publicity, who graced the front pages of publications the world over … it seemed he was enjoying his new role.”
After Varoufakis proposed a contingency plan that included establishing a parallel currency as well as issuing coupons to retirees, Tsipras knew that it was the end questioning Varoufakis: “Can you be serious?”
Enduring Criticism
Within the book, Tsipras concludes how Varoufakis had proved himself “unfit for a deal demanding intricate and delicate management.”
Tsipras also wrote that Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, and assisted hardliners who were advocating Grexit.
This account of history has provoked fury along with stunned disbelief among certain groups, while Varoufakis has maintained a conspicuous quiet regarding these claims.