In a freshly published autobiography, titled Ithaki, the former premier Alexis Tsipras spares no criticism while he reflects on that turbulent era during Greece's financial crisis.
A Controversial Appointment
In Tsipras's recollections, Tsipras selected that maverick economist Varoufakis as the treasury head mainly because of his international reputation and his highly compelling skills when it came to public orator.
“He was, actually, more like a star and less of an economic expert,” stated Tsipras.
Clashing Agendas
Tsipras alleges that his finance chief had a personal motives that included promoting Varoufakis's books and testing out his theories using Greece instead of truly fighting for the country's financial survival.
He explained that those talks to stave off bankruptcy were “not just a method to secure improved terms for Greece. They became an experiment, a monumental opportunity to demonstrate the validity of his economic theories.”
Critical Talks
During volatile discussions, the country found itself dangerously on the brink of exiting the single currency area.
At stake lay both the country's destiny and those severe austerity measures demanded in return for financial aid from international creditors.
Unsuccessful Options
Efforts to secure funds elsewhere, such as an urgent plea to Russia to purchase Greek bonds, went unanswered.
Assisting Greece was tantamount to throwing money into the garbage, Putin reportedly told Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those excoriating conditions were subjected to a public vote, a move which plunged Europe into deeper existential crisis.
Even though the vote was carried resoundingly by voters against the cuts, the prime minister had little option to reject its outcome and agree to a rescue deal with foreign lenders which proved to be more severe.
Breaking Point
The ex-PM claimed how he started questioning his finance minister relatively soon.
“He was the public image of the talks, the figure who attracted media attention, who graced the covers of publications globally … it seemed he relished the spotlight.”
When Varoufakis proposed a contingency plan involving establishing a parallel currency as well as issuing vouchers to pensioners, Tsipras said he realised it was the end and asked him: “Is this for real?”
Enduring Criticism
Within the memoir, Tsipras concludes that Varoufakis had proved himself to be “unfit for a deal demanding complex and delicate management.”
Tsipras further wrote that Varoufakis's aggressive style made him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
This account of events has provoked anger and stunned disbelief in some quarters, whereas Varoufakis has so far kept a deafening silence on the matter.
