In a freshly published personal account, called Ithaki, the ex- premier Alexis Tsipras spares no criticism as he examines that turbulent era during Greece's debt drama.
An Unconventional Choice
In the ex-PM's version, he appointed the unorthodox academic Varoufakis as his treasury head largely due to his international reputation along with his “extremely attractive” skills when it came to speaker.
“In reality, he was, actually, more like a personality and less of an economist,” recalled Tsipras.
Clashing Priorities
Tsipras claims how Varoufakis had his own motives that included advancing Varoufakis's publications and testing out his own theories on the nation rather than genuinely advocating its financial survival.
He noted that the talks to prevent bankruptcy were “not only a way to secure a better deal for the country. They became a test, a monumental chance to demonstrate the validity of his theories.”
Critical Talks
During tense negotiations, the country came dangerously on the brink of exiting the eurozone.
On the line was not only Greece's destiny and those harsh austerity policies required in return for bailout funds by foreign lenders.
Failed Alternatives
Attempts to find financing from other sources, including an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly informed his Greek counterpart in Moscow.
Referendum and Reversal
That summer, the excoriating conditions were subjected to a public vote, an action that threw Europe into a further existential crisis.
Although the vote was won resoundingly by those against austerity, Tsipras was forced but to reject its outcome then negotiate a bailout package from foreign lenders that proved to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of negotiation, the man who attracted publicity, who appeared on the covers of magazines globally … he gave the impression he relished his new role.”
After Varoufakis proposed a contingency plan that included creating a secondary currency as well as issuing vouchers to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Are you serious?”
Enduring Criticism
In the memoir, Tsipras asserts how Varoufakis had proved himself “unfit for an agreement that required intricate and sensitive management.”
He further wrote that his confrontational style made him more and more alone with colleagues, put Greece at risk, and helped hardliners who were advocating a Greek exit from the euro.
The account of events has provoked fury and shock in some quarters, while Varoufakis has kept a deafening silence regarding these claims.
