In a recently unveiled memoir, titled Ithaki, the former premier Alexis Tsipras does not hold back as he reflects on the turbulent period of Greece's economic turmoil.
An Unconventional Appointment
As per the ex-PM's version, Tsipras selected the unorthodox academic Varoufakis as his finance minister primarily due to the latter's worldwide fame along with his highly compelling skills when it came to public orator.
“In reality, he was, truthfully, more of a star and less of an economic expert,” wrote Tsipras.
Conflicting Agendas
Tsipras suggests that his finance chief had his own agenda that included advancing Varoufakis's publications as well as testing out his game theories using Greece rather than genuinely fighting for its economic stability.
Tsipras wrote that the discussions to avoid insolvency were “not only a method of achieving improved terms for the country. They were an experiment, a monumental opportunity to prove the truth of his theories.”
High-Stakes Negotiations
Amid tense negotiations, the country found itself perilously close to leaving the single currency area.
On the line lay not only Greece's destiny and those punishing austerity policies demanded in return for financial aid from international creditors.
Failed Alternatives
Attempts to find financing from other sources, including an urgent plea to Russia to purchase Greek government bonds, went unanswered.
Helping the indebted country would be tantamount to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, those harsh conditions were put to a popular referendum, a move that threw the EU into a deeper crisis of identity.
Even though the referendum was won resoundingly by those who opposed the cuts, the prime minister had little option but to ignore the result then negotiate a bailout package from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the man who attracted media attention, who graced the front pages of magazines globally … he gave the impression he was enjoying his new role.”
When the minister outlined a backup strategy that included creating a parallel currency as well as issuing vouchers to pensioners, Tsipras knew that it was game over questioning him: “Is this for real?”
Lasting Criticism
In the memoir, Tsipras concludes how his former ally demonstrated himself “unsuitable for a deal demanding complex and delicate handling.”
Tsipras also claimed that Varoufakis's aggressive approach left him increasingly isolated among peers, put Greece at risk, while helped hardliners who were pushing for Grexit.
This retelling of history has been met with anger along with shock in some quarters, while Varoufakis has kept a deafening silence regarding these claims.
