In a freshly published autobiography, called Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he revisits that turbulent period during Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's recollections, Tsipras selected that maverick economist Varoufakis to be his treasury head mainly due to his worldwide fame and his highly compelling abilities as a speaker.
“He was, truthfully, more of a star rather than an economist,” wrote the 51-year-old.
Clashing Priorities
Tsipras alleges how Varoufakis possessed a personal motives that included advancing Varoufakis's books and testing out his game theories on the nation instead of truly fighting for the country's financial survival.
Tsipras noted that the negotiations to avoid insolvency were “not just a way of achieving improved terms for the country. They became an experiment, a monumental opportunity to prove the truth of Varoufakis's theories.”
Critical Negotiations
During volatile discussions, the country found itself perilously close to exiting the eurozone.
At stake lay not only the country's destiny and the punishing austerity policies demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find funds from other sources, such as a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, those harsh bailout terms were subjected to a popular referendum, a move which plunged Europe into further existential crisis.
Even though the referendum was carried resoundingly by voters against the cuts, the prime minister had little option to reject its outcome then agree to a rescue deal from foreign lenders which turned out to be tougher.
Final Straw
The ex-PM claimed that he started questioning Varoufakis quite early on.
“He was the face of negotiation, the figure who drew publicity, who appeared on the covers of magazines the world over … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a backup strategy that included creating a parallel currency as well as distributing vouchers to retirees, Tsipras said he realised it was game over and asked him: “Can you be serious?”
Lasting Criticism
Within the book, the author asserts how his former ally demonstrated himself to be “unfit for an agreement demanding intricate and sensitive management.”
He also wrote that Varoufakis's aggressive approach left him more and more alone 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 and stunned disbelief among certain groups, while Varoufakis has maintained a deafening silence regarding these claims.
