In a freshly published memoir, named Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he revisits that turbulent period of Greece's economic turmoil.
A Controversial Choice
In the ex-PM's version, he chose the maverick academic Varoufakis to be the treasury head mainly because of his international reputation and his very persuasive skills as a public orator.
“He was, truthfully, more of a personality rather than an economic expert,” wrote the 51-year-old.
Clashing Agendas
The former leader claims that Varoufakis had his own agenda that involved advancing his books and experimenting with his economic models using Greece rather than truly advocating the country's financial survival.
He explained how those negotiations to avoid bankruptcy were “not only a method to secure a better deal for the country. They became a test, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Talks
During tense discussions, the country came perilously on the brink of leaving the single currency area.
On the line lay not only Greece's destiny but also those punishing cutbacks demanded in return for rescue loans by international creditors.
Failed Alternatives
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to buy Greek bonds, were rejected.
Assisting the indebted country was tantamount to tossing cash in the trash-can, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were subjected to a public vote, a move which plunged Europe into a deeper crisis of identity.
Even though the vote was carried decisively by those against the cuts, the prime minister had little option but to reject its outcome and negotiate a rescue deal from creditors which proved to be even harsher.
Breaking Point
Tsipras revealed how he started questioning Varoufakis quite early on.
“He was the face of the talks, the figure who drew media attention, who appeared on the covers of publications the world over … it seemed he relished his new role.”
When the minister outlined a backup strategy involving creating a secondary currency and distributing vouchers to pensioners, the leader said he realised that it was the end questioning Varoufakis: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras concludes how Varoufakis demonstrated himself “unfit for an agreement that required intricate and delicate handling.”
Tsipras further claimed that his aggressive approach left him increasingly isolated with colleagues, put Greece at risk, while helped hardliners that were pushing for Grexit.
The account of events has been met with anger along with shock in some quarters, whereas the former minister has maintained a deafening silence regarding these claims.
