Within his freshly published personal account, titled Ithaki, the former premier Alexis Tsipras does not hold back while he revisits that chaotic period during Greece's debt drama.
A Controversial Appointment
As per the ex-PM's account, Tsipras appointed that maverick economist Varoufakis to be the finance minister primarily due to the latter's global profile along with Varoufakis's “extremely attractive” abilities when it came to public orator.
“In reality, he was, actually, more like a personality rather than an economic expert,” wrote Tsipras.
Clashing Priorities
Tsipras suggests how his finance chief had his own agenda that involved advancing his books and experimenting with his own theories using the nation rather than truly fighting for the country's economic stability.
He explained how those negotiations to prevent bankruptcy became “not only a method of achieving improved terms for the country. They were an experiment, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
Critical Negotiations
During volatile discussions, the country found itself dangerously on the brink of leaving the eurozone.
At stake lay not only Greece's destiny but also those severe cutbacks required in return for bailout funds by foreign lenders.
Unsuccessful Alternatives
Efforts to find financing from other sources, including an urgent appeal to Russia to buy Greek government bonds, were rejected.
Assisting the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly told Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were put to a popular referendum, a move which plunged the EU into deeper crisis of identity.
Although the referendum was carried decisively by voters against austerity, Tsipras was forced but to reject its outcome and agree to a bailout package with creditors which proved to be even harsher.
Breaking Point
Tsipras revealed that he began to doubt his finance minister quite early on.
“He was the face of negotiation, the man who attracted publicity, who appeared on the covers of magazines the world over … it seemed he was enjoying his new role.”
After Varoufakis proposed a contingency plan that included creating a parallel currency as well as distributing vouchers to retirees, Tsipras said he realised that it was the end questioning Varoufakis: “Is this for real?”
Enduring Rebuke
In the book, Tsipras asserts that his former ally had proved himself to be “unsuitable for an agreement that required complex and sensitive handling.”
He further claimed that his confrontational approach left him increasingly isolated among peers, endangered the country, and assisted hawks that were pushing for Grexit.
The retelling of history has been met with fury along with shock among certain groups, while the former minister has so far kept a conspicuous quiet regarding these claims.
