Within his recently unveiled memoir, called Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he reflects on that turbulent era of Greece's economic turmoil.
An Unconventional Appointment
As per Tsipras's version, he chose the maverick economist Varoufakis to be his treasury head mainly due to his worldwide fame and his very persuasive skills when it came to speaker.
“In reality, he was, in reality, more like a celebrity and less of an economic expert,” recalled the 51-year-old.
Conflicting Agendas
Tsipras claims how his finance chief possessed his own motives which included advancing Varoufakis's books as well as testing out his theories using the nation rather than genuinely advocating the country's economic stability.
He wrote that those negotiations to prevent insolvency were “not only a way to secure improved terms for the country. They became a test, an historic opportunity to prove the validity of his economic theories.”
High-Stakes Talks
Amid volatile negotiations, the country came perilously on the brink of exiting the single currency area.
On the line lay not only the country's future but also the punishing austerity policies required in exchange for rescue loans from international creditors.
Unsuccessful Alternatives
Attempts to secure financing elsewhere, including a desperate plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money in the trash-can, the Russian leader reportedly informed his Greek counterpart in Moscow.
Referendum and Reversal
In July 2015, the punitive bailout terms were subjected to a popular referendum, a move which plunged the EU into a deeper crisis of identity.
Although the referendum was won resoundingly by those against austerity, the prime minister was forced to reject its outcome and agree to a bailout package with creditors that turned out to be tougher.
Final Straw
The ex-PM revealed that he started questioning Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who graced the covers of publications globally … he gave the impression he was enjoying the spotlight.”
After the minister proposed a contingency plan involving creating a secondary currency as well as distributing coupons to retirees, the leader said he realised that it was game over and asked him: “Can you be serious?”
Lasting Rebuke
In the memoir, the author asserts that his former ally demonstrated himself to be “unsuitable for an agreement that required intricate and sensitive management.”
He further claimed how Varoufakis's aggressive approach made him increasingly isolated among peers, endangered the country, and helped hawks who were advocating a Greek exit from the euro.
The account of events has been met with fury along with shock in some quarters, while Varoufakis has kept a conspicuous quiet on the matter.
