In a recently unveiled autobiography, titled Ithaki, the ex- premier Alexis Tsipras does not hold back as he reflects on that chaotic period during Greece's debt drama.
A Controversial Appointment
According to the ex-PM's version, Tsipras chose that unorthodox economist Varoufakis as the finance minister primarily because of the latter's global profile along with Varoufakis's very persuasive skills as a communicator.
“He was, actually, more of a star rather than an economic expert,” recalled Tsipras.
Clashing Agendas
The former leader alleges how his finance chief had a personal agenda that included promoting his publications and experimenting with his own economic models using Greece instead of genuinely advocating the country's economic stability.
Tsipras explained that the discussions to stave off bankruptcy became “not just a method to secure improved terms for the country. They were a test, an historic chance to prove the truth of his economic theories.”
Critical Negotiations
During volatile discussions, Greece came perilously close to exiting the eurozone.
At stake lay not only the country's destiny but also those harsh austerity policies required in return for bailout funds by foreign lenders.
Unsuccessful Options
Attempts to secure funds from other sources, including a desperate plea to Russia to purchase Greek government bonds, were rejected.
Helping Greece would be tantamount to throwing money in the trash-can, the Russian leader reportedly told his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, the punitive bailout terms were put to a popular referendum, an action which plunged the EU into further existential crisis.
Although the vote was carried decisively by those against austerity, the prime minister was forced to reject its outcome then negotiate a bailout package with foreign lenders that turned out to be tougher.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis relatively soon.
“Varoufakis was the face of the talks, the figure who attracted media attention, who graced the covers of magazines the world over … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy that included establishing a secondary currency as well as distributing vouchers to pensioners, Tsipras knew it was game over and asked Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, Tsipras asserts how his former ally had proved himself “unfit for an agreement demanding intricate and sensitive handling.”
He also wrote how Varoufakis's aggressive style made him increasingly isolated among peers, endangered the country, while assisted hawks who were pushing for Grexit.
This account of history has provoked anger and shock among certain groups, whereas the former minister has kept a conspicuous quiet on the matter.
