Within his recently unveiled memoir, called Ithaki, the former prime minister Alexis Tsipras pulls no punches as he examines the chaotic era during Greece's financial crisis.
A Controversial Choice
According to the ex-PM's account, Tsipras chose that unorthodox academic Varoufakis as the treasury head primarily because of the latter's international reputation along with Varoufakis's very persuasive abilities as a communicator.
“In reality, he was, truthfully, more of a star and less of an economist,” wrote the 51-year-old.
Clashing Priorities
Tsipras alleges that his finance chief had his own agenda that included promoting his publications and experimenting with his own theories using the nation instead of truly fighting for the country's economic stability.
Tsipras wrote that the discussions to stave off bankruptcy were “not only a method of achieving improved terms for Greece. They became a test, a monumental chance to demonstrate the validity of his theories.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came perilously close to leaving the eurozone.
At stake lay both the country's future and the severe austerity policies demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find funds from other sources, such as a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum and Reversal
In July 2015, the excoriating conditions were put to a public vote, a move that plunged Europe into deeper existential crisis.
Even though the referendum was carried resoundingly by voters who opposed the cuts, the prime minister was forced to ignore the result then agree to a rescue deal with foreign lenders that turned out to be tougher.
Final Straw
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“He was the public image of the talks, the figure who drew media attention, who appeared on the covers of magazines the world over … it seemed he relished the spotlight.”
When Varoufakis outlined a backup strategy that included establishing a secondary currency and distributing vouchers to retirees, the leader knew it was the end questioning Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, the author asserts how his former ally demonstrated himself “unsuitable for an agreement that required complex and delicate handling.”
Tsipras also wrote that Varoufakis's aggressive approach left him more and more alone with colleagues, endangered the country, and helped hawks that were advocating a Greek exit from the euro.
The account of history has been met with anger and stunned disbelief among certain groups, while Varoufakis has so far maintained a conspicuous quiet on the matter.
