Within his newly released memoir, named Ithaki, the ex- prime minister Alexis Tsipras does not hold back while he revisits that turbulent era of Greece's economic turmoil.
An Unconventional Appointment
According to Tsipras's recollections, Tsipras appointed the maverick academic Varoufakis to be his finance minister largely because of the latter's global profile and Varoufakis's very persuasive skills when it came to public orator.
“He was, truthfully, more like a personality and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests how Varoufakis possessed a personal agenda which involved advancing his publications as well as testing out his economic models using Greece instead of truly advocating the country's financial survival.
He explained that those talks to stave off insolvency were “not just a way of achieving a better deal for the country. They became an experiment, an historic opportunity to demonstrate the truth of his economic theories.”
Critical Negotiations
Amid volatile discussions, Greece found itself perilously close to leaving the single currency area.
On the line was both Greece's destiny and those harsh austerity measures required in exchange for rescue loans from international creditors.
Unsuccessful Options
Efforts to find financing from other sources, such as a desperate plea to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting Greece would be equivalent to tossing cash in the trash-can, the Russian leader reportedly told his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
That summer, those punitive conditions were put to a public vote, an action that plunged Europe into deeper existential crisis.
Even though the vote was won decisively by those against austerity, Tsipras was forced but to ignore the result then negotiate a bailout package with foreign lenders which turned out to be even harsher.
Breaking Point
Tsipras claimed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who appeared on the front pages of publications globally … it seemed he was enjoying the spotlight.”
When the minister proposed a contingency plan involving establishing a secondary currency and distributing coupons to pensioners, the leader said he realised that it was game over questioning him: “Are you serious?”
Enduring Rebuke
Within the book, the author asserts that his former ally demonstrated himself to be “unfit for a deal demanding intricate and delicate handling.”
He further wrote how Varoufakis's confrontational style left him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners who were pushing for Grexit.
The account of history has provoked fury and shock among certain groups, while Varoufakis has maintained a deafening silence on the matter.
