In a freshly published autobiography, titled Ithaki, the former prime minister Alexis Tsipras pulls no punches while he examines the chaotic period during Greece's economic turmoil.
A Controversial Choice
According to the ex-PM's account, Tsipras appointed the unorthodox economist Varoufakis as his treasury head mainly due to the latter's international reputation along with his highly compelling abilities as a public orator.
“He was, actually, more of a star and less of an economic expert,” recalled Tsipras.
Conflicting Priorities
Tsipras claims how Varoufakis possessed his own motives which involved advancing Varoufakis's books as well as experimenting with his own economic models using Greece instead of truly fighting for its financial survival.
He explained how the talks to prevent bankruptcy were “not just a way of achieving improved terms for the country. They became a test, a monumental chance to prove the validity of Varoufakis's theories.”
High-Stakes Negotiations
Amid tense discussions, Greece came dangerously on the brink of leaving the single currency area.
On the line was not only the country's future but also the severe austerity policies demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find funds elsewhere, including an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece was equivalent to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by U-Turn
In July 2015, the punitive conditions were put to a popular referendum, a move that plunged the EU into deeper crisis of identity.
Although the vote was carried decisively by voters who opposed the cuts, the prime minister was forced but to reject its outcome then agree to a rescue deal with foreign lenders which turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the man who drew publicity, who appeared on the front pages of publications globally … it seemed he relished his new role.”
After the minister proposed a contingency plan involving establishing a secondary currency and distributing vouchers to pensioners, the leader said he realised it was the end and asked him: “Can you be serious?”
Lasting Criticism
In the book, the author concludes that Varoufakis had proved himself “unsuitable for a deal that required intricate and delicate handling.”
Tsipras further claimed how his confrontational approach left him more and more alone among peers, put Greece at risk, while assisted hardliners who were advocating Grexit.
This retelling of events has provoked fury and shock among certain groups, whereas Varoufakis has maintained a deafening silence on the matter.
