In a freshly published memoir, named Ithaki, the former premier Alexis Tsipras spares no criticism as he examines that chaotic period during Greece's economic turmoil.
A Controversial Choice
As per Tsipras's version, he chose the maverick economist Varoufakis to be the finance minister mainly because of his worldwide fame and Varoufakis's “extremely attractive” abilities as a communicator.
“He was, in reality, more of a personality rather than an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests how his finance chief had his own motives which involved promoting his publications as well as testing out his own economic models using Greece rather than truly advocating its economic stability.
He explained how the talks to avoid insolvency were “not only a method of achieving a better deal for Greece. They became a test, an historic opportunity to prove the validity of his theories.”
Critical Talks
During rollercoaster negotiations, the country came perilously on the brink of leaving the eurozone.
On the line lay both Greece's destiny and the harsh austerity measures demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Alternatives
Attempts to secure financing from other sources, including a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting the indebted country would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum Followed by U-Turn
In July 2015, those harsh conditions were put to a public vote, an action which threw Europe into a deeper existential crisis.
Even though the vote was won resoundingly by voters who opposed the cuts, the prime minister had little option but to reject its outcome and negotiate a bailout package from creditors which turned out to be tougher.
Breaking Point
Tsipras claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who graced the covers of magazines the world over … he gave the impression he was enjoying the spotlight.”
After the minister proposed a contingency plan involving establishing a secondary currency and issuing coupons to retirees, the leader knew that it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the book, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal demanding intricate and sensitive handling.”
Tsipras further claimed how his aggressive approach left him increasingly isolated with colleagues, put Greece at risk, and helped hardliners that were pushing for a Greek exit from the euro.
This account of events has been met with anger along with shock among certain groups, whereas the former minister has so far maintained a deafening silence on the matter.
