Within his recently unveiled memoir, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches as he examines that turbulent period of Greece's financial crisis.
A Controversial Appointment
In Tsipras's recollections, Tsipras selected the unorthodox economist Varoufakis to be his finance minister mainly because of his international reputation along with Varoufakis's very persuasive skills when it came to communicator.
“In reality, he was, actually, more like a personality rather than an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests how Varoufakis had a personal motives which involved promoting his books as well as testing out his game theories on Greece instead of genuinely advocating its financial survival.
He noted that those negotiations to prevent insolvency were “not just a method to secure a better deal for the country. They were an experiment, an historic opportunity to prove the truth of Varoufakis's ideas.”
Critical Negotiations
Amid tense discussions, the country found itself perilously on the brink of exiting the single currency area.
On the line lay not only the country's destiny but also those severe austerity measures required in return for financial aid by international creditors.
Failed Alternatives
Attempts to find funds from other sources, including a desperate appeal to Russia to purchase Greek bonds, were rejected.
Assisting the indebted country was equivalent to throwing money in the trash-can, Putin reportedly informed his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, the harsh conditions were put to a public vote, an action which plunged Europe into deeper existential crisis.
Although the vote was carried resoundingly by those who opposed the cuts, the prime minister was forced to ignore the result and negotiate a bailout package from creditors which proved to be tougher.
Breaking Point
The ex-PM claimed that he started questioning his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who attracted media attention, who graced the covers of publications globally … he gave the impression he relished the spotlight.”
After the minister proposed a backup strategy involving creating a parallel currency and issuing vouchers to pensioners, the leader said he realised that it was the end questioning him: “Are you serious?”
Lasting Criticism
In the memoir, the author concludes how his former ally had proved himself to be “unsuitable for an agreement demanding complex and delicate management.”
He also claimed how his aggressive approach made him more and more alone among peers, put Greece at risk, and assisted hawks who were advocating a Greek exit from the euro.
The account of history has been met with anger and stunned disbelief in some quarters, while the former minister has kept a conspicuous quiet on the matter.
