Within his recently unveiled autobiography, named Ithaki, the former premier Alexis Tsipras pulls no punches as he reflects on the turbulent era of Greece's debt drama.
A Controversial Appointment
In Tsipras's version, Tsipras appointed the maverick economist Varoufakis as the treasury head mainly because of his worldwide fame and Varoufakis's highly compelling skills as a public orator.
“He was, truthfully, more like a star rather than an economic expert,” recalled Tsipras.
Clashing Agendas
Tsipras claims that his finance chief possessed a personal motives which involved advancing his publications as well as testing out his game theories on Greece instead of truly advocating its economic stability.
Tsipras noted how those negotiations to stave off insolvency were “not just a method to secure a better deal for Greece. They were an experiment, an historic chance to demonstrate the truth of Varoufakis's theories.”
Critical Talks
During rollercoaster negotiations, the country came perilously close to leaving the single currency area.
On the line was both Greece's destiny but also the punishing austerity policies demanded in exchange for rescue loans by foreign lenders.
Unsuccessful Alternatives
Efforts to find financing from other sources, such as an urgent appeal to the Kremlin to buy Greek government bonds, went unanswered.
Helping Greece was equivalent to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote Followed by Reversal
In July 2015, the excoriating bailout terms were put to a popular referendum, an action which plunged Europe into deeper existential crisis.
Although the referendum was won decisively by those against austerity, the prime minister was forced to ignore the result and negotiate a rescue deal from foreign lenders that proved to be even harsher.
Final Straw
Tsipras revealed that he started questioning his finance minister quite early on.
“Varoufakis was the face of negotiation, the man who drew media attention, who appeared on the front pages of publications globally … it seemed he relished the spotlight.”
When the minister proposed a contingency plan involving creating a parallel currency and issuing vouchers to retirees, Tsipras said he realised that it was game over and asked him: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras asserts that his former ally demonstrated himself to be “unsuitable for an agreement demanding complex and delicate management.”
Tsipras further wrote that Varoufakis's confrontational style left him more and more alone among peers, put Greece at risk, and helped hardliners who were pushing for Grexit.
The account of events has provoked anger and shock in some quarters, whereas Varoufakis has so far maintained a deafening silence regarding these claims.
