Within his freshly published personal account, called Ithaki, the former prime minister Tsipras does not hold back as he reflects on the turbulent period during Greece's financial crisis.
A Controversial Choice
As per the ex-PM's account, Tsipras appointed that maverick academic Varoufakis as the treasury head largely due to his global profile and his very persuasive abilities as a public orator.
“In reality, he was, in reality, more of a celebrity and less of an economic expert,” stated Tsipras.
Clashing Priorities
The former leader suggests that his finance chief had his own motives which included advancing his books and experimenting with his theories on the nation instead of truly advocating the country's financial survival.
He explained that the negotiations to avoid insolvency were “not only a way of achieving a better deal for Greece. They became a test, an historic chance to prove the validity of Varoufakis's economic theories.”
High-Stakes Talks
During tense discussions, Greece came dangerously on the brink of exiting the single currency area.
At stake lay not only the country's future but also those harsh austerity policies demanded in return for rescue loans from foreign lenders.
Failed Options
Attempts to find funds elsewhere, such as an urgent appeal to the Kremlin to buy Greek bonds, went unanswered.
Assisting the indebted country would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.
Public Vote and Reversal
That summer, those excoriating bailout terms were put to a public vote, an action which plunged Europe into a deeper existential crisis.
Even though the vote was won resoundingly by voters against the cuts, Tsipras had little option but to reject its outcome and agree to a rescue deal from foreign lenders which proved to be even harsher.
Breaking Point
The ex-PM claimed how he started questioning his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who drew publicity, who appeared on the front pages of publications globally … it seemed he relished the spotlight.”
After Varoufakis outlined a backup strategy involving establishing a parallel currency and distributing vouchers to retirees, the leader knew that it was the end questioning him: “Are you serious?”
Lasting Criticism
Within the book, the author concludes how Varoufakis demonstrated himself to be “unsuitable for an agreement that required complex and delicate management.”
He also claimed that his confrontational approach made him more and more alone with colleagues, put Greece at risk, and assisted hawks that were advocating Grexit.
The retelling of events has provoked fury and stunned disbelief among certain groups, while the former minister has maintained a conspicuous quiet on the matter.
