Within his recently unveiled personal account, named Ithaki, the former leader Alexis Tsipras does not hold back while he reflects on that turbulent era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's recollections, Tsipras appointed that maverick economist Varoufakis to be the treasury head primarily because of his international reputation along with his “extremely attractive” abilities as a speaker.
“He was, in reality, more of a personality and less of an economist,” wrote the 51-year-old.
Clashing Agendas
The former leader alleges that Varoufakis had a personal agenda that involved advancing Varoufakis's books as well as testing out his economic models using the nation rather than truly advocating the country's economic stability.
Tsipras wrote that those talks to prevent bankruptcy were “not just a way to secure improved terms for the country. They were a test, a monumental opportunity to demonstrate the validity of Varoufakis's theories.”
Critical Negotiations
Amid tense negotiations, the country found itself dangerously close to exiting the eurozone.
At stake lay not only Greece's future and the harsh austerity measures demanded in exchange for bailout funds from foreign lenders.
Unsuccessful Alternatives
Attempts to find financing from other sources, such as a desperate plea to Russia to buy Greek bonds, went unanswered.
Helping the indebted country was tantamount to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Referendum and Reversal
In July 2015, those harsh bailout terms were put to a public vote, a move which threw the EU into a further existential crisis.
Although the vote was carried resoundingly by voters against the cuts, the prime minister was forced to reject its outcome then negotiate a bailout package with creditors that turned out to be tougher.
Final Straw
The ex-PM revealed that he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who attracted media attention, who appeared on the front pages of publications the world over … he gave the impression he was enjoying the spotlight.”
When the minister proposed a backup strategy that included creating a secondary currency and distributing coupons to retirees, Tsipras knew it was game over questioning Varoufakis: “Can you be serious?”
Lasting Criticism
In the book, Tsipras asserts how his former ally demonstrated himself “unfit for a deal that required complex and delicate management.”
Tsipras also wrote that Varoufakis's confrontational approach made him more and more alone with colleagues, put Greece at risk, while helped hawks that were advocating Grexit.
The account of history has provoked anger and shock in some quarters, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
