Within his freshly published personal account, named Ithaki, the former premier Alexis Tsipras pulls no punches while he reflects on that chaotic period of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's account, Tsipras selected the unorthodox economist Varoufakis to be the treasury head mainly due to his global profile along with his highly compelling skills as a speaker.
“He was, truthfully, more like a personality and less of an economic expert,” wrote Tsipras.
Clashing Agendas
The former leader claims how Varoufakis possessed a personal motives that included advancing his publications as well as testing out his own game theories on Greece rather than genuinely advocating its economic stability.
He explained that those discussions to prevent insolvency were “not only a way to secure a better deal for Greece. They were an experiment, an historic chance to demonstrate the validity of his ideas.”
High-Stakes Negotiations
During rollercoaster negotiations, the country came dangerously on the brink of exiting the eurozone.
At stake was not only the country's future and the severe austerity measures demanded in return for rescue loans from foreign lenders.
Failed Alternatives
Attempts to secure financing elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country would be tantamount to throwing money into the garbage, Putin is reputed to have told Tsipras in Moscow.
Referendum Followed by U-Turn
In July 2015, those excoriating conditions were put to a popular referendum, a move that plunged Europe into further existential crisis.
Even though the referendum was won decisively by voters who opposed austerity, the prime minister was forced to ignore the result and agree to a bailout package from foreign lenders that proved to be more severe.
Breaking Point
Tsipras claimed how he began to doubt Varoufakis quite early on.
“He was the public image of the talks, the figure who drew media attention, who graced the front pages of publications the world over … it seemed he relished the spotlight.”
When the minister proposed a contingency plan that included creating a secondary currency and distributing vouchers to retirees, the leader said he realised it was game over and asked him: “Can you be serious?”
Enduring Criticism
Within the book, the author asserts that his former ally had proved himself to be “unfit for an agreement that required complex and sensitive management.”
Tsipras further wrote how his aggressive style left him increasingly isolated with colleagues, endangered the country, and helped hardliners who were pushing for a Greek exit from the euro.
This retelling of events has been met with fury along with shock in some quarters, whereas the former minister has kept a deafening silence regarding these claims.
