Within his newly released autobiography, named Ithaki, the former leader Alexis Tsipras spares no criticism as he reflects on the chaotic period of Greece's debt drama.
An Unconventional Choice
As per the ex-PM's version, Tsipras selected the maverick economist Varoufakis as the treasury head largely because of his international reputation along with Varoufakis's highly compelling skills as a speaker.
“He was, in reality, more of a star and less of an economist,” recalled Tsipras.
Conflicting Priorities
Tsipras alleges that his finance chief possessed his own motives which involved promoting his publications as well as testing out his economic models using the nation instead of truly fighting for its economic stability.
Tsipras explained that the negotiations to prevent insolvency were “not just a way to secure improved terms for Greece. They were an experiment, an historic opportunity to prove the truth of his theories.”
Critical Negotiations
Amid rollercoaster negotiations, the country came dangerously close to exiting the eurozone.
On the line was both the country's destiny but also those punishing cutbacks required in return for financial aid from foreign lenders.
Unsuccessful Options
Attempts to find financing elsewhere, such as a desperate appeal to the Kremlin to purchase Greek government bonds, were rejected.
Assisting the indebted country would be tantamount to tossing cash in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.
Public Vote Followed by Reversal
That summer, the punitive bailout terms were put to a popular referendum, a move which plunged the EU into deeper crisis of identity.
Even though the referendum was carried resoundingly by those who opposed austerity, the prime minister was forced to reject its outcome then negotiate a rescue deal with foreign lenders which proved to be tougher.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the man who drew media attention, who graced the front pages of magazines globally … it seemed he was enjoying his new role.”
When Varoufakis proposed a contingency plan involving creating a secondary currency as well as distributing coupons to retirees, the leader said he realised it was the end and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the memoir, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for a deal that required complex and sensitive handling.”
Tsipras further wrote how Varoufakis's confrontational style left him increasingly isolated with colleagues, put Greece at risk, while assisted hawks who were advocating Grexit.
The retelling of events has been met with fury along with shock among certain groups, while the former minister has so far kept a conspicuous quiet regarding these claims.
