In a freshly published personal account, called Ithaki, the former leader Alexis Tsipras pulls no punches as he examines that turbulent era of Greece's financial crisis.
A Controversial Appointment
In Tsipras's version, Tsipras selected the unorthodox academic Varoufakis as his treasury head largely because of the latter's international reputation along with Varoufakis's highly compelling skills as a public orator.
“In reality, he was, truthfully, more like a celebrity rather than an economist,” stated the 51-year-old.
Clashing Agendas
The former leader suggests how his finance chief possessed a personal motives that involved promoting his books as well as testing out his game theories using the nation instead of genuinely fighting for the country's economic stability.
Tsipras noted how the talks to prevent bankruptcy became “not only a way to secure improved terms for Greece. They were a test, an historic chance to demonstrate the truth of his ideas.”
Critical Negotiations
Amid volatile discussions, the country came perilously close to exiting the single currency area.
At stake was both the country's future but also the punishing austerity measures required in exchange for bailout funds by international creditors.
Unsuccessful Alternatives
Attempts to secure funds from other sources, such as an urgent appeal to the Kremlin to buy Greek government bonds, went unanswered.
Helping Greece was equivalent to tossing cash into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and U-Turn
In July 2015, those harsh bailout terms were put to a public vote, a move which plunged the EU into deeper existential crisis.
Although the referendum was won resoundingly by voters against austerity, the prime minister had little option to reject its outcome and negotiate a rescue deal from creditors that proved to be more severe.
Breaking Point
Tsipras revealed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who graced the covers of magazines the world over … he gave the impression he relished his new role.”
When Varoufakis proposed a contingency plan that included establishing a secondary currency and issuing coupons to retirees, the leader knew that it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
Within the book, Tsipras asserts how Varoufakis demonstrated himself “unsuitable for an agreement demanding complex and delicate handling.”
Tsipras also claimed how his aggressive style left him more and more alone among peers, endangered the country, and helped hardliners that were advocating a Greek exit from the euro.
The account of events has been met with anger along with shock in some quarters, while Varoufakis has maintained a conspicuous quiet regarding these claims.
