Within his newly released personal account, titled Ithaki, the ex- leader Tsipras pulls no punches as he reflects on the chaotic period of Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's recollections, he appointed the maverick economist Varoufakis to be the finance minister primarily due to his international reputation and his “extremely attractive” skills as a speaker.
“He was, actually, more like a personality rather than an economic expert,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests that Varoufakis possessed a personal motives that involved promoting Varoufakis's books and experimenting with his own theories using the nation rather than truly fighting for its financial survival.
Tsipras explained how the negotiations to prevent insolvency were “not just a method to secure a better deal for Greece. They were an experiment, a monumental opportunity to demonstrate the truth of his economic theories.”
Critical Talks
During tense discussions, the country came perilously on the brink of leaving the eurozone.
On the line was not only Greece's destiny and the severe austerity policies demanded in exchange for bailout funds by foreign lenders.
Unsuccessful Alternatives
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping the indebted country was equivalent to throwing money into the garbage, the Russian leader reportedly told Tsipras during their meeting.
Referendum and U-Turn
In July 2015, those excoriating conditions were put to a popular referendum, an action which plunged Europe into deeper crisis of identity.
Even though the referendum was carried decisively by voters against austerity, Tsipras had little option but to ignore the result then negotiate a bailout package from foreign lenders that turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning his finance minister relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who graced the front pages of publications the world over … he gave the impression he was enjoying his new role.”
When the minister outlined a backup strategy involving establishing a secondary currency and distributing coupons to retirees, Tsipras knew it was game over and asked him: “Is this for real?”
Lasting Criticism
In the book, the author concludes how Varoufakis had proved himself “unsuitable for an agreement demanding complex and sensitive handling.”
Tsipras further wrote how Varoufakis's confrontational approach left him more and more alone with colleagues, endangered the country, and assisted hardliners who were advocating a Greek exit from the euro.
This retelling of events has provoked fury and stunned disbelief in some quarters, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
