In a recently unveiled autobiography, called Ithaki, the ex- leader Alexis Tsipras pulls no punches as he revisits that turbulent era of Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's recollections, he appointed that unorthodox academic Varoufakis to be his finance minister mainly because of his worldwide fame and Varoufakis's highly compelling abilities as a communicator.
“He was, actually, more like a celebrity and less of an economic expert,” recalled the 51-year-old.
Conflicting Priorities
The former leader alleges that Varoufakis had a personal motives which involved advancing his books and testing out his own theories using the nation rather than genuinely fighting for its economic stability.
Tsipras wrote how those talks to stave off bankruptcy became “not just a way of achieving a better deal for Greece. They became an experiment, an historic chance to prove the truth of his economic theories.”
Critical Talks
During volatile discussions, the country came perilously on the brink of exiting the single currency area.
At stake lay both Greece's future and the punishing austerity policies required in exchange for rescue loans from foreign lenders.
Unsuccessful Alternatives
Efforts to secure financing from other sources, including an urgent plea to the Kremlin to purchase Greek bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash in the trash-can, Putin is reputed to have informed his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
In July 2015, the excoriating bailout terms were put to a public vote, an action that plunged the EU into a deeper existential crisis.
Although the referendum was won decisively by those who opposed austerity, the prime minister was forced but to ignore the result then negotiate a rescue deal from foreign lenders which turned out to be even harsher.
Final Straw
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who drew media attention, who appeared on the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
After the minister outlined a contingency plan involving creating a parallel currency as well as distributing vouchers to retirees, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Lasting Criticism
Within the memoir, the author asserts that his former ally had proved himself “unsuitable for an agreement that required complex and sensitive handling.”
He also wrote that his confrontational style left him more and more alone with colleagues, put Greece at risk, while helped hardliners who were pushing for a Greek exit from the euro.
This account of events has been met with fury and shock in some quarters, while the former minister has maintained a deafening silence on the matter.
