In a newly released personal account, named Ithaki, the former premier Tsipras does not hold back while he examines the chaotic period of Greece's debt drama.
A Controversial Appointment
As per the ex-PM's account, he appointed the unorthodox academic Varoufakis to be his finance minister largely due to the latter's global profile along with his very persuasive abilities as a speaker.
“In reality, he was, truthfully, more like a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Agendas
Tsipras alleges that Varoufakis possessed his own agenda which involved advancing his publications and experimenting with his economic models on the nation instead of genuinely advocating its financial survival.
Tsipras noted that those negotiations to stave off insolvency were “not just a method to secure improved terms for the country. They were an experiment, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
Critical Talks
Amid volatile negotiations, the country found itself perilously on the brink of exiting the single currency area.
At stake lay both Greece's destiny but also those harsh austerity policies demanded in return for rescue loans by foreign lenders.
Unsuccessful Alternatives
Efforts to secure financing from other sources, including an urgent plea to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, those excoriating conditions were put to a popular referendum, an action which threw the EU into a further existential crisis.
Even though the vote was carried decisively by those who opposed austerity, Tsipras had little option but to reject its outcome and agree to a rescue deal from foreign lenders which turned out to be more severe.
Final Straw
Tsipras claimed that he began to doubt his finance minister relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted publicity, who appeared on the front pages of magazines globally … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan involving establishing a parallel currency and distributing vouchers to pensioners, Tsipras said he realised that it was the end and asked him: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author asserts that his former ally demonstrated himself “unfit for an agreement that required intricate and sensitive management.”
He also claimed that his aggressive style made him more and more alone with colleagues, put Greece at risk, and assisted hardliners that were advocating a Greek exit from the euro.
The account of events has provoked fury and shock in some quarters, whereas the former minister has maintained a deafening silence on the matter.
