In a recently unveiled memoir, titled Ithaki, the former leader Alexis Tsipras pulls no punches while he revisits the turbulent era during Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's account, Tsipras selected the maverick economist Varoufakis to be his treasury head mainly due to the latter's international reputation along with Varoufakis's very persuasive abilities as a speaker.
“In reality, he was, actually, more like a star rather than an economist,” recalled the 51-year-old.
Conflicting Agendas
The former leader suggests that his finance chief had his own agenda that included advancing Varoufakis's publications and experimenting with his own economic models on the nation rather than genuinely fighting for the country's economic stability.
He explained how those discussions to stave off insolvency were “not only a way to secure improved terms for the country. They were an experiment, an historic chance to prove the truth of Varoufakis's theories.”
Critical Negotiations
Amid volatile discussions, Greece found itself dangerously close to exiting the eurozone.
At stake was both Greece's future but also those harsh cutbacks required in return for rescue loans from foreign lenders.
Failed Options
Efforts to secure financing from other sources, such as an urgent plea to Russia to purchase Greek bonds, were rejected.
Helping Greece would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, those harsh conditions were put to a public vote, an action that threw the EU into a deeper existential crisis.
Although the referendum was carried decisively by voters against austerity, Tsipras was forced to ignore the result then agree to a rescue deal from creditors which turned out to be more severe.
Final Straw
Tsipras claimed how he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who attracted publicity, who graced the covers of publications globally … it seemed he relished the spotlight.”
When the minister outlined a contingency plan involving establishing a secondary currency as well as distributing vouchers to pensioners, the leader said he realised that it was game over questioning him: “Are you serious?”
Enduring Rebuke
In the memoir, Tsipras asserts how his former ally had proved himself “unsuitable for an agreement that required intricate and sensitive handling.”
Tsipras also wrote how his aggressive approach made him increasingly isolated among peers, endangered the country, while helped hardliners that were advocating Grexit.
The account of events has provoked anger and shock in some quarters, whereas the former minister has maintained a conspicuous quiet on the matter.
