In a freshly published memoir, named Ithaki, the ex- prime minister Tsipras pulls no punches while he revisits the chaotic era of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's recollections, he chose that maverick academic Varoufakis to be his finance minister largely because of his worldwide fame along with his highly compelling skills when it came to communicator.
“He was, in reality, more like a celebrity and less of an economist,” recalled Tsipras.
Clashing Priorities
Tsipras suggests that his finance chief possessed his own motives which included advancing Varoufakis's publications and testing out his economic models using Greece rather than truly advocating the country's financial survival.
Tsipras wrote how the talks to prevent insolvency became “not only a method to secure a better deal for the country. They became a test, a monumental chance to demonstrate the validity of Varoufakis's theories.”
High-Stakes Negotiations
Amid tense negotiations, the country came perilously close to exiting the single currency area.
At stake lay not only Greece's future and those punishing cutbacks required in return for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to find funds elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Assisting the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and Reversal
In July 2015, the punitive conditions were put to a public vote, a move that plunged Europe into a deeper existential crisis.
Although the vote was won resoundingly by those who opposed the cuts, Tsipras had little option to reject its outcome and negotiate a bailout package from foreign lenders that turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the figure who drew media attention, who appeared on the front pages of magazines globally … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a contingency plan involving creating a parallel currency and issuing vouchers to pensioners, the leader said he realised it was game over and asked him: “Are you serious?”
Lasting Rebuke
In the book, the author asserts that Varoufakis demonstrated himself “unsuitable for an agreement demanding complex and sensitive management.”
Tsipras further claimed that his aggressive style made him more and more alone among peers, endangered the country, and assisted hawks who were advocating a Greek exit from the euro.
The account of history has been met with fury along with shock in some quarters, whereas Varoufakis has kept a deafening silence regarding these claims.
