Within his recently unveiled memoir, named Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he reflects on the chaotic period of Greece's debt drama.
An Unconventional Appointment
In the ex-PM's account, Tsipras appointed the unorthodox academic Varoufakis to be the finance minister mainly due to the latter's global profile and his “extremely attractive” abilities when it came to communicator.
“In reality, he was, actually, more like a star rather than an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras alleges how his finance chief had his own motives which included advancing his publications and testing out his own theories on Greece instead of genuinely advocating its financial survival.
He noted that those discussions to avoid bankruptcy were “not only a way to secure improved terms for the country. They were an experiment, a monumental opportunity to demonstrate the truth of his theories.”
High-Stakes Negotiations
During volatile discussions, Greece came perilously close to exiting the eurozone.
On the line lay not only Greece's future but also the severe austerity measures required in return for rescue loans by foreign lenders.
Failed Alternatives
Efforts to secure financing from other sources, including an urgent plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Assisting Greece would be tantamount to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by U-Turn
In July 2015, those harsh bailout terms were put to a public vote, an action that plunged the EU into a deeper crisis of identity.
Although the referendum was carried decisively by voters who opposed austerity, Tsipras had little option but to ignore the result then agree to a bailout package with foreign lenders that proved to be more severe.
Breaking Point
Tsipras claimed how he started questioning his finance minister quite early on.
“He was the public image of negotiation, the man who drew media attention, who graced the covers of magazines globally … it seemed he was enjoying the spotlight.”
After Varoufakis proposed a backup strategy involving establishing a parallel currency as well as issuing coupons to retirees, the leader said he realised it was the end and asked Varoufakis: “Is this for real?”
Lasting Rebuke
Within the memoir, Tsipras concludes how his former ally had proved himself to be “unfit for a deal that required intricate and sensitive management.”
Tsipras also wrote how Varoufakis's aggressive approach made him more and more alone with colleagues, endangered the country, while assisted hawks that were advocating a Greek exit from the euro.
The retelling of history has provoked anger and shock in some quarters, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
