Within his recently unveiled personal account, named Ithaki, the former leader Alexis Tsipras does not hold back while he revisits that chaotic period during Greece's financial crisis.
An Unconventional Choice
According to Tsipras's account, he selected the unorthodox economist Varoufakis as the treasury head primarily because of the latter's international reputation along with Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, actually, more of a star and less of an economic expert,” recalled Tsipras.
Conflicting Priorities
The former leader claims that Varoufakis had a personal motives which involved promoting Varoufakis's books as well as testing out his own game theories on Greece rather than truly advocating its financial survival.
He noted that those negotiations to prevent bankruptcy became “not only a way to secure a better deal for Greece. They were a test, an historic opportunity to demonstrate the validity of his theories.”
Critical Talks
During rollercoaster negotiations, the country came perilously close to exiting the single currency area.
At stake was not only the country's destiny and those severe austerity measures demanded in exchange for financial aid from foreign lenders.
Failed Options
Attempts to find funds from other sources, including a desperate plea to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the punitive bailout terms were put to a public vote, a move which plunged the EU into deeper existential crisis.
Even though the vote was carried decisively by voters who opposed the cuts, Tsipras was forced but to reject its outcome and agree to a rescue deal with creditors which turned out to be tougher.
Breaking Point
The ex-PM revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who drew media attention, who graced the front pages of publications globally … it seemed he was enjoying his new role.”
After Varoufakis outlined a backup strategy that included creating a parallel currency and distributing coupons to retirees, Tsipras knew that it was game over questioning Varoufakis: “Is this for real?”
Lasting Criticism
In the book, Tsipras concludes how his former ally had proved himself “unsuitable for a deal that required complex and delicate handling.”
Tsipras also claimed that Varoufakis's aggressive approach left him increasingly isolated with colleagues, put Greece at risk, while helped hawks who were advocating a Greek exit from the euro.
The retelling of events has provoked anger and stunned disbelief in some quarters, whereas Varoufakis has so far maintained a deafening silence regarding these claims.
