Within his freshly published autobiography, called Ithaki, the ex- premier Alexis Tsipras pulls no punches while he revisits that chaotic era during Greece's debt drama.
An Unconventional Appointment
As per the ex-PM's recollections, he selected that maverick economist Varoufakis to be the finance minister largely because of his international reputation and Varoufakis's highly compelling skills when it came to speaker.
“In reality, he was, actually, more like a star and less of an economist,” recalled Tsipras.
Clashing Agendas
Tsipras alleges how his finance chief had his own motives which involved advancing his books and testing out his economic models on Greece rather than truly advocating its economic stability.
He noted that the talks to prevent insolvency were “not only a method to secure improved terms for Greece. They became a test, a monumental opportunity to demonstrate the validity of his theories.”
Critical Negotiations
During tense negotiations, the country found itself perilously on the brink of exiting the eurozone.
At stake was not only the country's destiny and the severe austerity measures demanded in exchange for financial aid by international creditors.
Failed Alternatives
Efforts to secure funds from other sources, including an urgent plea to Russia to purchase Greek government bonds, were rejected.
Helping the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and U-Turn
In July 2015, the punitive bailout terms were put to a popular referendum, a move that threw the EU into a deeper crisis of identity.
Even though the vote was won resoundingly by those who opposed the cuts, Tsipras had little option but to reject its outcome and agree to a bailout package from foreign lenders which turned out to be even harsher.
Breaking Point
The ex-PM revealed that he started questioning his finance minister quite early on.
“Varoufakis was the face of the talks, the man who attracted publicity, who appeared on the front pages of publications the world over … it seemed he was enjoying his new role.”
When Varoufakis proposed a contingency plan involving establishing a secondary currency and distributing vouchers to pensioners, the leader knew that it was the end questioning him: “Is this for real?”
Enduring Criticism
In the book, Tsipras concludes how his former ally had proved himself “unfit for a deal that required intricate and delicate handling.”
He also claimed that Varoufakis's confrontational approach left him increasingly isolated among peers, endangered the country, while helped hardliners that were pushing for Grexit.
This retelling of history has been met with anger along with shock among certain groups, while Varoufakis has maintained a deafening silence on the matter.
