Within his recently unveiled autobiography, named Ithaki, the former premier Alexis Tsipras pulls no punches as he revisits that chaotic era during Greece's financial crisis.
A Controversial Appointment
In the ex-PM's recollections, he selected that unorthodox economist Varoufakis to be his finance minister largely due to his worldwide fame and his very persuasive skills when it came to communicator.
“In reality, he was, in reality, more of a star rather than an economist,” wrote Tsipras.
Conflicting Agendas
Tsipras suggests how his finance chief had his own motives that included promoting his books and experimenting with his own game theories on Greece rather than genuinely advocating the country's financial survival.
He explained how the discussions to prevent bankruptcy became “not just a way to secure improved terms for the country. They were a test, an historic chance to demonstrate the validity of his economic theories.”
Critical Negotiations
During rollercoaster negotiations, the country found itself perilously close to exiting the eurozone.
At stake was not only the country's future and those severe austerity measures required in return for financial aid by foreign lenders.
Failed Options
Attempts to secure financing from other sources, including an urgent plea to Russia to buy Greek government bonds, went unanswered.
Helping Greece was tantamount to throwing money in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and Reversal
In July 2015, those excoriating bailout terms were put to a popular referendum, an action that plunged Europe into deeper crisis of identity.
Even though the referendum was won decisively by those who opposed austerity, the prime minister was forced but to reject its outcome and agree to a bailout package with foreign lenders which turned out to be more severe.
Final Straw
The ex-PM claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who attracted media attention, who graced the covers of publications globally … it seemed he relished the spotlight.”
After the minister proposed a contingency plan involving creating a secondary currency as well as distributing vouchers to pensioners, Tsipras said he realised it was game over questioning Varoufakis: “Can you be serious?”
Enduring Criticism
Within the memoir, Tsipras asserts how Varoufakis had proved himself to be “unfit for a deal that required complex and sensitive management.”
He further wrote how Varoufakis's aggressive approach left him increasingly isolated among peers, endangered the country, while assisted hawks who were advocating a Greek exit from the euro.
This account of events has been met with fury and stunned disbelief in some quarters, while the former minister has so far maintained a conspicuous quiet on the matter.
