Within his recently unveiled autobiography, called Ithaki, the former premier Alexis Tsipras does not hold back while he examines that turbulent era of Greece's financial crisis.
A Controversial Choice
As per the ex-PM's account, Tsipras chose that maverick economist Varoufakis to be the treasury head mainly because of the latter's international reputation and his very persuasive skills when it came to public orator.
“He was, in reality, more like a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Agendas
Tsipras suggests how his finance chief had his own motives which involved promoting his publications as well as testing out his game theories using the nation instead of genuinely advocating the country's financial survival.
He wrote that the negotiations to prevent bankruptcy were “not just a method of achieving improved terms for the country. They were a test, a monumental opportunity to prove the validity of Varoufakis's theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, the country came perilously on the brink of leaving the eurozone.
On the line lay not only the country's future and those harsh austerity policies demanded in exchange for bailout funds from international creditors.
Unsuccessful Alternatives
Attempts to secure financing from other sources, including a desperate appeal to Russia to buy Greek bonds, went unanswered.
Helping Greece would be equivalent to throwing money in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Public Vote and U-Turn
That summer, the excoriating bailout terms were put to a popular referendum, an action which plunged the EU into further existential crisis.
Although the referendum was won decisively by those who opposed austerity, the prime minister had little option but to reject its outcome then agree to a rescue deal with creditors that proved to be even harsher.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who attracted publicity, who appeared on the front pages of magazines globally … it seemed he relished his new role.”
When Varoufakis outlined a contingency plan that included establishing a parallel currency and issuing coupons to pensioners, Tsipras knew it was game over questioning him: “Is this for real?”
Enduring Rebuke
In the memoir, Tsipras asserts that Varoufakis demonstrated himself to be “unsuitable for a deal that required complex and delicate handling.”
He also claimed that Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, and helped hawks that were advocating Grexit.
This retelling of events has been met with fury along with shock among certain groups, while the former minister has maintained a deafening silence on the matter.
