Within his newly released memoir, named Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he revisits that chaotic era during Greece's economic turmoil.
An Unconventional Choice
As per the ex-PM's recollections, Tsipras chose the unorthodox economist Varoufakis to be the treasury head primarily due to the latter's international reputation along with Varoufakis's highly compelling skills as a communicator.
“He was, actually, more like a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Priorities
The former leader claims that Varoufakis possessed his own motives which involved promoting his publications and experimenting with his own theories on Greece instead of genuinely fighting for the country's economic stability.
Tsipras noted that the talks to avoid insolvency were “not only a way of achieving improved terms for the country. They were a test, an historic opportunity to demonstrate the truth of his economic theories.”
Critical Negotiations
Amid tense negotiations, Greece came dangerously on the brink of exiting the eurozone.
On the line was both Greece's destiny and those severe austerity measures demanded in return for financial aid from international creditors.
Failed Options
Attempts to find funds from other sources, including an urgent appeal to Russia to buy Greek government bonds, were rejected.
Assisting the indebted country was equivalent to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote Followed by Reversal
That summer, the harsh bailout terms were put to a popular referendum, a move which threw Europe into deeper crisis of identity.
Although the vote was carried decisively by those against austerity, Tsipras was forced but to ignore the result and negotiate a bailout package with creditors which turned out to be tougher.
Final Straw
Tsipras revealed that he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the figure who drew media attention, who graced the front pages of magazines the world over … it seemed he relished the spotlight.”
After Varoufakis outlined a contingency plan involving establishing a parallel currency as well as issuing coupons to pensioners, Tsipras said he realised it was the end and asked Varoufakis: “Is this for real?”
Lasting Criticism
In the memoir, Tsipras asserts how his former ally had proved himself to be “unsuitable for a deal demanding complex and delicate handling.”
Tsipras further wrote how his confrontational style left him increasingly isolated with colleagues, endangered the country, and helped hawks that were advocating a Greek exit from the euro.
The retelling of history has been met with fury and stunned disbelief among certain groups, while Varoufakis has so far maintained a deafening silence on the matter.
