In a newly released memoir, named Ithaki, the former premier Tsipras pulls no punches as he revisits the chaotic era of Greece's economic turmoil.
A Controversial Appointment
In Tsipras's recollections, Tsipras appointed that unorthodox academic Varoufakis to be his finance minister largely due to his worldwide fame and his very persuasive skills when it came to public orator.
“In reality, he was, truthfully, more of a star rather than an economist,” stated the 51-year-old.
Conflicting Agendas
The former leader suggests that Varoufakis had his own agenda that included promoting Varoufakis's publications and experimenting with his theories on the nation rather than truly advocating its financial survival.
He wrote how those talks to avoid insolvency were “not only a way to secure improved terms for Greece. They became an experiment, an historic chance to demonstrate the truth of Varoufakis's theories.”
Critical Talks
During tense negotiations, the country came perilously close to leaving the eurozone.
On the line was not only Greece's future but also those harsh austerity policies demanded in return for financial aid by international creditors.
Unsuccessful Options
Attempts to secure funds elsewhere, including a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras during their meeting.
Public Vote Followed by Reversal
That summer, those punitive conditions were put to a popular referendum, an action that threw Europe into further existential crisis.
Even though the vote was won resoundingly by voters against the cuts, the prime minister had little option but to reject its outcome then agree to a bailout package with creditors that turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt his finance minister relatively soon.
“Varoufakis was the face of negotiation, the man who drew publicity, who graced the covers of magazines the world over … he gave the impression he was enjoying the spotlight.”
After Varoufakis outlined a backup strategy involving creating a parallel currency and distributing coupons to retirees, the leader knew it was game over questioning him: “Is this for real?”
Enduring Rebuke
In the book, the author asserts how Varoufakis had proved himself “unsuitable for an agreement that required complex and sensitive handling.”
He also wrote that Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, and assisted hawks who were advocating Grexit.
This account of history has provoked fury along with stunned disbelief in some quarters, while Varoufakis has so far maintained a deafening silence on the matter.
