In a newly released autobiography, named Ithaki, the former leader Alexis Tsipras does not hold back as he reflects on that chaotic era of Greece's financial crisis.
A Controversial Appointment
According to the ex-PM's version, he chose the unorthodox academic Varoufakis as his finance minister largely due to the latter's worldwide fame along with his very persuasive skills as a speaker.
“In reality, he was, in reality, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
The former leader claims that his finance chief possessed a personal agenda that included promoting his books and testing out his own economic models on Greece instead of genuinely fighting for the country's economic stability.
Tsipras noted how those negotiations to avoid insolvency became “not just a way to secure a better deal for the country. They were a test, a monumental chance to demonstrate the truth of his theories.”
Critical Negotiations
During tense discussions, the country came perilously close to leaving the eurozone.
At stake was not only Greece's future and those punishing austerity measures demanded in exchange for rescue loans by international creditors.
Failed Options
Efforts to secure financing elsewhere, such as a desperate plea to Russia to purchase Greek bonds, went unanswered.
Helping Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told Tsipras during their meeting.
Referendum and U-Turn
In July 2015, those harsh bailout terms were put to a public vote, a move that plunged the EU into a further crisis of identity.
Although the referendum was won resoundingly by voters against the cuts, the prime minister was forced but to ignore the result and agree to a rescue deal with foreign lenders which proved to be even harsher.
Final Straw
The ex-PM revealed that he started questioning Varoufakis relatively soon.
“He was the face of negotiation, the man who attracted publicity, who graced the front pages of magazines globally … he gave the impression he relished the spotlight.”
After the minister outlined a backup strategy that included establishing a secondary currency and issuing coupons to pensioners, the leader said he realised that it was the end questioning him: “Are you serious?”
Lasting Criticism
In the book, Tsipras asserts how Varoufakis had proved himself to be “unsuitable for an agreement demanding intricate and sensitive management.”
He also wrote how his aggressive approach left him increasingly isolated among peers, endangered the country, and helped hardliners who were pushing for a Greek exit from the euro.
The retelling of events has been met with fury along with stunned disbelief in some quarters, while the former minister has maintained a conspicuous quiet regarding these claims.
