In a recently unveiled memoir, named Ithaki, the ex- prime minister Alexis Tsipras does not hold back while he examines the turbulent period during Greece's economic turmoil.
A Controversial Appointment
In the ex-PM's version, Tsipras appointed the maverick academic Varoufakis as the finance minister largely due to the latter's international reputation along with Varoufakis's highly compelling abilities as a speaker.
“He was, in reality, more of a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Priorities
The former leader suggests that Varoufakis possessed a personal motives which included promoting his publications as well as experimenting with his economic models using the nation rather than truly advocating its economic stability.
He explained that those talks to stave off insolvency became “not just a method of achieving a better deal for the country. They were an experiment, an historic chance to prove the truth of his theories.”
Critical Negotiations
During rollercoaster negotiations, Greece came dangerously on the brink of leaving the single currency area.
On the line was both Greece's future and those punishing austerity policies required in return for financial aid by international creditors.
Unsuccessful Options
Efforts to secure funds elsewhere, including an urgent appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be tantamount to throwing money in the trash-can, Putin reportedly informed Tsipras in Moscow.
Public Vote and U-Turn
That summer, those punitive bailout terms were put to a public vote, a move that plunged the EU into further existential crisis.
Even though the referendum was won decisively by voters who opposed austerity, Tsipras had little option to reject its outcome then negotiate a bailout package from foreign lenders which turned out to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“He was the face of negotiation, the man who attracted publicity, who graced the covers of publications globally … he gave the impression he was enjoying the spotlight.”
After the minister outlined a backup strategy involving creating a parallel currency and distributing vouchers to retirees, the leader knew that it was game over and asked him: “Are you serious?”
Enduring Criticism
Within the book, the author concludes that Varoufakis demonstrated himself to be “unsuitable for a deal demanding intricate and sensitive handling.”
He also claimed that his aggressive style made him more and more alone among peers, put Greece at risk, while assisted hardliners that were advocating a Greek exit from the euro.
The retelling of history has been met with anger and stunned disbelief in some quarters, while Varoufakis has maintained a conspicuous quiet on the matter.
