Within his newly released personal account, called Ithaki, the former leader Alexis Tsipras spares no criticism as he revisits the turbulent period during Greece's financial crisis.
A Controversial Choice
As per the ex-PM's version, he chose that unorthodox academic Varoufakis as his treasury head mainly due to his global profile and his highly compelling abilities as a communicator.
“In reality, he was, actually, more like a star and less of an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras claims how his finance chief possessed a personal agenda which included advancing Varoufakis's publications as well as testing out his theories using the nation rather than truly advocating the country's financial survival.
He noted how those discussions to prevent insolvency were “not only a way to secure a better deal for Greece. They were an experiment, a monumental opportunity to prove the validity of Varoufakis's economic theories.”
Critical Negotiations
During volatile discussions, the country came perilously on the brink of exiting the eurozone.
On the line was both the country's future and those severe austerity measures demanded in exchange for rescue loans from international creditors.
Unsuccessful Options
Efforts to secure financing elsewhere, including a desperate plea to Russia to purchase Greek government bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told Tsipras in Moscow.
Referendum and U-Turn
In July 2015, the excoriating bailout terms were put to a public vote, an action that threw Europe into further existential crisis.
Although the vote was won decisively by those who opposed austerity, Tsipras was forced but to ignore the result then negotiate a rescue deal with foreign lenders that turned out to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the man who drew publicity, who appeared on the covers of magazines the world over … it seemed he was enjoying his new role.”
After the minister proposed a backup strategy involving establishing a parallel currency and distributing vouchers to pensioners, the leader said he realised that it was game over and asked him: “Is this for real?”
Enduring Rebuke
Within the book, Tsipras concludes that his former ally had proved himself to be “unfit for an agreement that required complex and delicate handling.”
He also claimed that Varoufakis's aggressive approach left him more and more alone among peers, endangered the country, while helped hawks who were advocating a Greek exit from the euro.
This retelling of events has been met with anger along with shock in some quarters, whereas Varoufakis has maintained a conspicuous quiet on the matter.
