In a newly released personal account, titled Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he reflects on the turbulent era of Greece's economic turmoil.
An Unconventional Appointment
As per the ex-PM's recollections, he selected the unorthodox economist Varoufakis to be the treasury head primarily because of the latter's international reputation along with his very persuasive skills when it came to communicator.
“In reality, he was, truthfully, more of a personality rather than an economist,” stated Tsipras.
Clashing Agendas
Tsipras suggests that Varoufakis had his own agenda which included advancing Varoufakis's publications and experimenting with his own economic models on the nation instead of genuinely advocating its economic stability.
Tsipras noted how the discussions to stave off insolvency became “not only a way to secure a better deal for Greece. They became a test, an historic chance to demonstrate the truth of his ideas.”
High-Stakes Negotiations
Amid rollercoaster negotiations, the country found itself dangerously on the brink of leaving the single currency area.
At stake lay both the country's future and those punishing austerity policies demanded in exchange for rescue loans by international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, such as an urgent plea to Russia to purchase Greek bonds, went unanswered.
Helping the indebted country would be tantamount to throwing money into the garbage, Putin is reputed to have informed Tsipras during their meeting.
Referendum Followed by Reversal
That summer, the punitive conditions were subjected to a public vote, a move which threw Europe into further existential crisis.
Even though the referendum was won resoundingly by voters who opposed the cuts, Tsipras was forced but to reject its outcome then agree to a bailout package from creditors which turned out to be tougher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who drew publicity, who graced the front pages of publications the world over … it seemed he relished the spotlight.”
When the minister proposed a contingency plan that included creating a secondary currency as well as distributing vouchers to pensioners, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the book, Tsipras concludes how Varoufakis had proved himself “unfit for a deal demanding intricate and sensitive management.”
He further claimed that Varoufakis's aggressive approach made him increasingly isolated among peers, endangered the country, and assisted hawks who were pushing for a Greek exit from the euro.
The retelling of events has provoked anger along with shock among certain groups, whereas the former minister has maintained a deafening silence on the matter.
