In a newly released personal account, titled Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits that chaotic period during Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's account, he selected that maverick economist Varoufakis as the finance minister mainly because of the latter's global profile along with Varoufakis's very persuasive abilities as a public orator.
“In reality, he was, in reality, more like a personality and less of an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader alleges how Varoufakis possessed a personal agenda that involved advancing his books and experimenting with his own economic models on the nation instead of genuinely fighting for the country's economic stability.
He wrote that those discussions to avoid insolvency became “not only a way to secure a better deal for Greece. They became a test, an historic opportunity to demonstrate the validity of Varoufakis's ideas.”
Critical Negotiations
Amid tense negotiations, Greece found itself perilously close to leaving the single currency area.
On the line lay not only Greece's destiny but also those harsh austerity measures demanded in return for bailout funds by foreign lenders.
Failed Alternatives
Efforts to find financing from other sources, including a desperate plea to the Kremlin to buy Greek government bonds, went unanswered.
Assisting the indebted country was equivalent to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, the punitive bailout terms were put to a popular referendum, an action that plunged Europe into further crisis of identity.
Although the vote was carried decisively by voters who opposed the cuts, the prime minister was forced but to reject its outcome then negotiate a rescue deal from creditors that turned out to be more severe.
Final Straw
The ex-PM claimed that he began to doubt his finance minister relatively soon.
“He was the face of the talks, the figure who drew publicity, who graced the covers of publications the world over … it seemed he was enjoying the spotlight.”
When the minister proposed a backup strategy that included creating a secondary currency as well as issuing vouchers to pensioners, Tsipras said he realised it was game over and asked him: “Are you serious?”
Enduring Criticism
Within the book, Tsipras concludes how his former ally had proved himself “unsuitable for a deal that required intricate and sensitive management.”
He also claimed that Varoufakis's aggressive approach made him more and more alone with colleagues, endangered the country, while helped hardliners that were advocating Grexit.
This retelling of history has been met with anger and shock among certain groups, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
