In a recently unveiled autobiography, called Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he revisits the turbulent period during Greece's economic turmoil.
An Unconventional Choice
In Tsipras's account, he appointed that unorthodox economist Varoufakis to be his finance minister primarily because of his global profile and Varoufakis's very persuasive abilities as a public orator.
“In reality, he was, truthfully, more like a celebrity rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader suggests how his finance chief had his own agenda that included advancing his publications as well as experimenting with his own economic models using Greece rather than genuinely advocating its financial survival.
He noted how those negotiations to prevent bankruptcy were “not just a way to secure a better deal for the country. They became an experiment, a monumental chance to demonstrate the validity of his ideas.”
High-Stakes Negotiations
During rollercoaster discussions, the country came dangerously on the brink of leaving the single currency area.
At stake lay not only the country's future and the harsh austerity measures required in exchange for financial aid from international creditors.
Failed Alternatives
Efforts to find funds from other sources, such as a desperate appeal to Russia to purchase Greek government bonds, were rejected.
Helping Greece would be equivalent to throwing money into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, those excoriating conditions were put to a public vote, a move that plunged Europe into a further crisis of identity.
Even though the vote was won resoundingly by those against austerity, the prime minister had little option to ignore the result then agree to a bailout package from creditors that proved to be tougher.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who graced the front pages of magazines globally … it seemed he was enjoying his new role.”
After the minister proposed a backup strategy involving establishing a secondary currency as well as issuing coupons to pensioners, Tsipras said he realised that it was the end questioning Varoufakis: “Is this for real?”
Enduring Criticism
In the book, Tsipras asserts that his former ally had proved himself to be “unfit for an agreement that required intricate and sensitive handling.”
Tsipras also wrote how Varoufakis's aggressive approach left him increasingly isolated among peers, put Greece at risk, and assisted hardliners who were advocating a Greek exit from the euro.
This account of events has been met with anger along with shock among certain groups, while the former minister has kept a conspicuous quiet on the matter.
