In a newly released memoir, called Ithaki, the ex- prime minister Tsipras does not hold back as he examines the turbulent period during Greece's debt drama.
A Controversial Appointment
As per Tsipras's account, Tsipras chose the unorthodox economist Varoufakis to be his treasury head primarily due to the latter's global profile and Varoufakis's “extremely attractive” skills as a speaker.
“In reality, he was, in reality, more like a celebrity rather than an economist,” stated the 51-year-old.
Conflicting Agendas
The former leader suggests how his finance chief had his own agenda which included promoting his books as well as testing out his own theories on Greece rather than genuinely fighting for its financial survival.
He explained how those talks to avoid insolvency were “not just a way of achieving improved terms for the country. They became an experiment, an historic chance to demonstrate the truth of his theories.”
Critical Negotiations
Amid tense negotiations, Greece found itself dangerously on the brink of exiting the eurozone.
On the line was both Greece's destiny but also the harsh austerity measures required in return for bailout funds by foreign lenders.
Unsuccessful Options
Efforts to find funds elsewhere, such as a desperate plea to Russia to buy Greek government bonds, went unanswered.
Assisting the indebted country was equivalent to tossing cash in the trash-can, Putin reportedly informed Tsipras during their meeting.
Public Vote and Reversal
In July 2015, those excoriating bailout terms were put to a public vote, a move which threw the EU into a deeper existential crisis.
Even though the referendum was won decisively by voters who opposed the cuts, Tsipras was forced but to reject its outcome and agree to a rescue deal with creditors which turned out to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who attracted media attention, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
After Varoufakis outlined a contingency plan involving creating a secondary currency and distributing vouchers to pensioners, the leader knew that it was the end questioning him: “Is this for real?”
Lasting Rebuke
Within the memoir, the author concludes how Varoufakis demonstrated himself to be “unsuitable for a deal demanding complex and delicate management.”
Tsipras also wrote how his confrontational approach left him increasingly isolated with colleagues, endangered the country, and assisted hardliners that were pushing for a Greek exit from the euro.
This retelling of events has provoked fury and stunned disbelief among certain groups, while Varoufakis has so far maintained a conspicuous quiet regarding these claims.
