In a newly released memoir, titled Ithaki, the former leader Alexis Tsipras does not hold back while he reflects on the turbulent period of Greece's economic turmoil.
A Controversial Appointment
As per the ex-PM's version, Tsipras appointed the unorthodox academic Varoufakis as the finance minister mainly due to his worldwide fame and Varoufakis's “extremely attractive” skills as a communicator.
“In reality, he was, in reality, more of a celebrity rather than an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras alleges that his finance chief possessed a personal agenda which included promoting Varoufakis's books and testing out his theories using Greece instead of truly fighting for the country's financial survival.
He noted how those discussions to avoid insolvency became “not only a way of achieving improved terms for Greece. They became a test, a monumental chance to demonstrate the validity of his economic theories.”
Critical Talks
During volatile negotiations, the country came dangerously close to exiting the single currency area.
At stake lay both the country's future and those harsh austerity policies demanded in exchange for bailout funds from international creditors.
Failed Alternatives
Attempts to secure financing from other sources, including an urgent plea to Russia to buy Greek government bonds, fell on stony ground.
Helping Greece was equivalent to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the excoriating conditions were put to a popular referendum, an action that threw Europe into a further existential crisis.
Even though the vote was won decisively by those against austerity, the prime minister had little option to reject its outcome and negotiate a rescue deal with foreign lenders that turned out to be even harsher.
Breaking Point
The ex-PM revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who appeared on the front pages of publications globally … it seemed he relished the spotlight.”
After the minister proposed a backup strategy that included creating a parallel currency and distributing vouchers to pensioners, the leader knew that it was game over questioning him: “Can you be serious?”
Enduring Rebuke
In the memoir, Tsipras asserts how his former ally had proved himself to be “unfit for a deal demanding complex and delicate handling.”
Tsipras further claimed that his confrontational approach made him increasingly isolated with colleagues, endangered the country, while helped hawks that were advocating Grexit.
The retelling of events has provoked anger and stunned disbelief among certain groups, while the former minister has so far kept a deafening silence on the matter.
