In a freshly published memoir, named Ithaki, the ex- premier Alexis Tsipras pulls no punches as he reflects on the turbulent period during Greece's debt drama.
A Controversial Appointment
In Tsipras's recollections, he appointed the unorthodox economist Varoufakis to be his treasury head mainly due to the latter's worldwide fame along with his highly compelling skills as a speaker.
“He was, actually, more like a star and less of an economist,” recalled Tsipras.
Conflicting Agendas
The former leader claims that Varoufakis had a personal motives that involved advancing Varoufakis's books as well as experimenting with his own game theories on Greece rather than truly advocating the country's financial survival.
He explained how those negotiations to avoid insolvency became “not just a method of achieving a better deal for Greece. They became a test, a monumental opportunity to demonstrate the truth of his ideas.”
Critical Talks
During volatile discussions, the country found itself perilously close to leaving the single currency area.
At stake was not only Greece's destiny but also those harsh cutbacks demanded in exchange for financial aid by international creditors.
Failed Alternatives
Attempts to secure financing elsewhere, such as an urgent appeal to the Kremlin to purchase Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Public Vote and Reversal
That summer, the harsh conditions were subjected to a public vote, an action which plunged the EU into a deeper crisis of identity.
Although the vote was won resoundingly by voters who opposed the cuts, the prime minister was forced but to reject its outcome and negotiate a bailout package from foreign lenders which proved to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis relatively soon.
“He was the public image of negotiation, the figure who attracted media attention, who graced the covers of magazines globally … it seemed he relished the spotlight.”
When the minister outlined a contingency plan involving creating a parallel currency and distributing vouchers to pensioners, the leader knew that it was the end and asked Varoufakis: “Are you serious?”
Lasting Criticism
Within the book, the author asserts how Varoufakis had proved himself to be “unsuitable for a deal demanding complex and sensitive management.”
Tsipras further wrote how Varoufakis's aggressive style made him more and more alone among peers, put Greece at risk, while helped hawks that were pushing for a Greek exit from the euro.
The account of events has provoked anger and shock in some quarters, while Varoufakis has so far maintained a conspicuous quiet regarding these claims.
