In a freshly published memoir, named Ithaki, the former prime minister Alexis Tsipras spares no criticism as he revisits the chaotic period of Greece's debt drama.
A Controversial Choice
As per Tsipras's account, he selected the maverick academic Varoufakis to be his treasury head largely because of his global profile along with his very persuasive skills when it came to communicator.
“He was, actually, more like a star and less of an economic expert,” stated the 51-year-old.
Clashing Agendas
Tsipras suggests how Varoufakis had his own motives which involved promoting his books and testing out his game theories on Greece rather than truly fighting for its financial survival.
Tsipras explained how those negotiations to avoid insolvency were “not just a way to secure improved terms for the country. They became an experiment, a monumental chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
Amid volatile negotiations, Greece found itself perilously on the brink of leaving the single currency area.
At stake lay not only the country's future but also the severe austerity measures required in return for bailout funds from international creditors.
Failed Options
Attempts to secure funds from other sources, including an urgent plea to Russia to purchase Greek government bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money into the garbage, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the punitive bailout terms were subjected to a popular referendum, an action that plunged the EU into a further existential crisis.
Although the referendum was won decisively by voters against austerity, the prime minister was forced but to reject its outcome and negotiate a rescue deal from foreign lenders which turned out to be even harsher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis relatively soon.
“He was the face of the talks, the man who drew media attention, who graced the front pages of publications globally … it seemed he relished his new role.”
After Varoufakis outlined a contingency plan that included creating a parallel currency and issuing coupons to pensioners, Tsipras knew that it was the end and asked him: “Are you serious?”
Enduring Criticism
Within the book, Tsipras asserts that Varoufakis demonstrated himself to be “unfit for a deal demanding complex and delicate handling.”
He also wrote how his confrontational approach made him more and more alone with colleagues, endangered the country, and assisted hardliners that were advocating a Greek exit from the euro.
The account of history has provoked anger along with stunned disbelief among certain groups, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
