In a freshly published autobiography, titled Ithaki, the former premier Alexis Tsipras pulls no punches as he reflects on the chaotic period of Greece's economic turmoil.
A Controversial Choice
As per the ex-PM's account, he appointed the unorthodox economist Varoufakis to be the treasury head largely because of the latter's international reputation and his very persuasive abilities as a public orator.
“He was, truthfully, more of a star and less of an economist,” stated the 51-year-old.
Conflicting Priorities
Tsipras suggests that Varoufakis had a personal motives which involved promoting his books and testing out his own theories on Greece instead of truly advocating the country's financial survival.
Tsipras wrote that the talks to prevent insolvency became “not just a way to secure improved terms for Greece. They became a test, a monumental chance to prove the validity of Varoufakis's ideas.”
High-Stakes Talks
During volatile negotiations, Greece found itself perilously close to exiting the single currency area.
On the line lay not only the country's destiny but also those harsh austerity measures required in return for bailout funds by international creditors.
Failed Options
Attempts to find funds from other sources, such as an urgent appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money into the garbage, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote Followed by Reversal
That summer, those punitive conditions were put to a public vote, a move that threw the EU into a deeper existential crisis.
Even though the vote was carried resoundingly by those against the cuts, the prime minister was forced but to reject its outcome then agree to a rescue deal from foreign lenders that turned out to be more severe.
Final Straw
The ex-PM claimed that he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who drew publicity, who graced the front pages of magazines the world over … he gave the impression he relished the spotlight.”
After Varoufakis outlined a contingency plan that included creating a parallel currency and issuing coupons to pensioners, Tsipras knew that it was game over and asked him: “Is this for real?”
Lasting Rebuke
In the memoir, the author asserts that his former ally had proved himself to be “unsuitable for an agreement demanding complex and delicate management.”
He further claimed that his aggressive approach made him increasingly isolated among peers, endangered the country, while helped hawks who were advocating a Greek exit from the euro.
This account of history has provoked fury along with stunned disbelief in some quarters, while Varoufakis has kept a deafening silence on the matter.
