Within his newly released autobiography, called Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits that chaotic era during Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's version, Tsipras appointed that unorthodox academic Varoufakis as his treasury head primarily because of his international reputation and his highly compelling abilities when it came to public orator.
“He was, truthfully, more like a star rather than an economic expert,” wrote the 51-year-old.
Clashing Agendas
The former leader claims that Varoufakis possessed his own agenda which included advancing his books as well as testing out his own economic models on the nation rather than genuinely advocating its financial survival.
He wrote that the discussions to prevent insolvency were “not only a way to secure a better deal for Greece. They were a test, a monumental opportunity to demonstrate the truth of his economic theories.”
High-Stakes Talks
During rollercoaster discussions, Greece found itself perilously close to exiting the eurozone.
On the line lay both the country's destiny but also the harsh austerity policies demanded in exchange for bailout funds by international creditors.
Failed Alternatives
Efforts to secure financing from other sources, including an urgent appeal to the Kremlin to purchase Greek bonds, went unanswered.
Assisting Greece was tantamount to tossing cash in the trash-can, Putin is reputed to have told Tsipras in Moscow.
Referendum and U-Turn
That summer, those excoriating bailout terms were subjected to a public vote, a move which threw Europe into a deeper existential crisis.
Although the vote was won decisively by those against austerity, Tsipras was forced but to ignore the result then agree to a bailout package with foreign lenders that proved to be more severe.
Breaking Point
Tsipras revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the man who drew publicity, who graced the front pages of publications the world over … he gave the impression he relished his new role.”
When the minister outlined a backup strategy involving creating a secondary currency as well as issuing vouchers to retirees, Tsipras knew that it was the end questioning him: “Are you serious?”
Lasting Rebuke
In the memoir, the author concludes how Varoufakis had proved himself to be “unsuitable for a deal demanding complex and delicate management.”
Tsipras also wrote that Varoufakis's confrontational style made him increasingly isolated with colleagues, endangered the country, and helped hardliners who were pushing for Grexit.
The account of history has provoked anger along with stunned disbelief in some quarters, whereas the former minister has maintained a deafening silence on the matter.
