In a recently unveiled autobiography, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he revisits the chaotic period during Greece's economic turmoil.
An Unconventional Appointment
In Tsipras's version, he chose the maverick academic Varoufakis as the finance minister primarily due to the latter's global profile along with Varoufakis's “extremely attractive” abilities as a public orator.
“He was, actually, more of a star and less of an economist,” wrote the 51-year-old.
Clashing Agendas
Tsipras suggests that Varoufakis had a personal motives that included advancing his publications and experimenting with his own economic models using Greece rather than genuinely advocating its economic stability.
Tsipras wrote that the discussions to stave off insolvency were “not just a way to secure improved terms for the country. They were an experiment, a monumental opportunity to demonstrate the truth of Varoufakis's theories.”
High-Stakes Talks
During tense discussions, the country came dangerously close to exiting the eurozone.
On the line lay not only Greece's destiny but also those severe cutbacks demanded in exchange for rescue loans by international creditors.
Unsuccessful Alternatives
Attempts to find funds elsewhere, such as an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, those excoriating bailout terms were subjected to a public vote, a move that plunged Europe into a deeper existential crisis.
Although the vote was carried decisively by voters who opposed austerity, Tsipras had little option but to reject its outcome then negotiate a rescue deal with foreign lenders that turned out to be even harsher.
Breaking Point
Tsipras revealed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of negotiation, the man who drew media attention, who graced the front pages of magazines globally … he gave the impression he was enjoying his new role.”
When Varoufakis proposed a contingency plan that included creating a parallel currency and distributing vouchers to pensioners, Tsipras knew it was game over and asked Varoufakis: “Is this for real?”
Enduring Criticism
Within the memoir, the author asserts that Varoufakis had proved himself “unsuitable for an agreement demanding intricate and delicate handling.”
He also wrote that his confrontational style left him more and more alone among peers, put Greece at risk, and assisted hardliners who were advocating Grexit.
The retelling of events has provoked anger along with shock in some quarters, while Varoufakis has so far maintained a deafening silence regarding these claims.
