In a recently unveiled personal account, called Ithaki, the ex- prime minister Alexis Tsipras does not hold back while he reflects on the chaotic period during Greece's debt drama.
A Controversial Appointment
As per Tsipras's recollections, Tsipras selected the maverick economist Varoufakis as his treasury head primarily because of his international reputation and his “extremely attractive” abilities when it came to communicator.
“He was, truthfully, more of a star rather than an economist,” stated the 51-year-old.
Clashing Agendas
The former leader alleges how his finance chief had his own agenda which involved promoting Varoufakis's publications as well as testing out his theories using Greece instead of truly advocating its financial survival.
He explained how those talks to prevent insolvency became “not only a method of achieving a better deal for Greece. They became an experiment, an historic opportunity to prove the validity of Varoufakis's ideas.”
High-Stakes Talks
Amid volatile discussions, Greece came dangerously on the brink of exiting the single currency area.
On the line was both Greece's destiny but also those harsh austerity policies demanded in exchange for bailout funds from international creditors.
Unsuccessful Options
Efforts to secure financing elsewhere, including an urgent appeal to the Kremlin to buy Greek government bonds, went unanswered.
Assisting Greece was equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote and U-Turn
In July 2015, those excoriating conditions were subjected to a popular referendum, an action that threw Europe into deeper existential crisis.
Although the referendum was won resoundingly by voters against austerity, Tsipras was forced but to reject its outcome then negotiate a rescue deal from creditors which turned out to be tougher.
Final Straw
The ex-PM claimed that he started questioning his finance minister quite early on.
“He was the public image of the talks, the figure who attracted publicity, who graced the covers of publications globally … it seemed he relished the spotlight.”
When the minister outlined a contingency plan involving creating a parallel currency and distributing coupons to retirees, the leader said he realised that it was game over questioning him: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author asserts that Varoufakis demonstrated himself “unsuitable for an agreement that required complex and sensitive handling.”
Tsipras further wrote how Varoufakis's confrontational approach made him increasingly isolated with colleagues, put Greece at risk, and helped hawks who were advocating a Greek exit from the euro.
This retelling of events has been met with anger along with shock in some quarters, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
