In a newly released autobiography, titled Ithaki, the ex- prime minister Tsipras spares no criticism as he reflects on that turbulent period of Greece's financial crisis.
A Controversial Choice
As per the ex-PM's account, he selected that maverick academic Varoufakis to be his finance minister primarily due to the latter's international reputation along with Varoufakis's “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more of a personality and less of an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader alleges that his finance chief had his own agenda which included promoting his books and testing out his own theories using the nation rather than genuinely fighting for its economic stability.
Tsipras wrote that the talks to avoid bankruptcy were “not just a method to secure improved terms for Greece. They were an experiment, a monumental opportunity to demonstrate the validity of his ideas.”
Critical Negotiations
During volatile negotiations, the country found itself dangerously on the brink of exiting the single currency area.
On the line was not only Greece's destiny and the harsh austerity policies demanded in exchange for bailout funds by foreign lenders.
Failed Options
Attempts to find financing from other sources, including a desperate appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, the excoriating bailout terms were subjected to a public vote, an action which plunged Europe into deeper existential crisis.
Even though the vote was won resoundingly by those who opposed the cuts, the prime minister had little option to reject its outcome then agree to a rescue deal from creditors that proved to be more severe.
Breaking Point
Tsipras claimed how he began to doubt his finance minister quite early on.
“He was the face of the talks, the figure who drew publicity, who graced the front pages of publications the world over … he gave the impression he relished his new role.”
After Varoufakis outlined a backup strategy involving creating a parallel currency and issuing vouchers to pensioners, Tsipras knew it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the memoir, the author asserts how his former ally demonstrated himself “unfit for an agreement that required intricate and sensitive handling.”
He further wrote how Varoufakis's aggressive approach made him more and more alone among peers, endangered the country, and helped hawks that were pushing for a Greek exit from the euro.
This retelling of events has been met with anger along with shock in some quarters, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
