In a freshly published memoir, titled Ithaki, the ex- prime minister Tsipras does not hold back while he examines the chaotic period during Greece's financial crisis.
An Unconventional Choice
In Tsipras's recollections, Tsipras appointed the unorthodox economist Varoufakis to be his finance minister largely due to the latter's international reputation along with Varoufakis's highly compelling abilities as a communicator.
“In reality, he was, truthfully, more like a personality rather than an economist,” recalled Tsipras.
Conflicting Agendas
The former leader claims that his finance chief possessed a personal agenda which involved promoting Varoufakis's books as well as testing out his own theories on the nation rather than truly advocating its economic stability.
He wrote that those discussions to stave off insolvency became “not only a method to secure improved terms for Greece. They were a test, an historic chance to prove the truth of Varoufakis's theories.”
Critical Negotiations
Amid tense negotiations, the country came perilously close to exiting the eurozone.
At stake lay not only the country's destiny and those severe cutbacks required in exchange for bailout funds by international creditors.
Failed Options
Attempts to find financing elsewhere, such as an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece was tantamount to tossing cash into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Referendum and U-Turn
In July 2015, the punitive conditions were put to a public vote, a move which plunged the EU into a deeper crisis of identity.
Even though the referendum was carried resoundingly by those who opposed austerity, Tsipras had little option but to ignore the result then negotiate a bailout package with foreign lenders that turned out to be tougher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew media attention, who graced the covers of magazines globally … it seemed he relished the spotlight.”
After the minister proposed a backup strategy that included creating a parallel currency and issuing vouchers to retirees, the leader knew it was the end and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the book, the author concludes how Varoufakis had proved himself to be “unsuitable for an agreement demanding intricate and sensitive management.”
Tsipras further claimed that his confrontational approach left him increasingly isolated with colleagues, endangered the country, while helped hawks that were pushing for a Greek exit from the euro.
This retelling of events has provoked fury and shock among certain groups, while Varoufakis has kept a deafening silence on the matter.
