In a freshly published personal account, called Ithaki, the former leader Alexis Tsipras pulls no punches as he reflects on that turbulent era of Greece's economic turmoil.
A Controversial Choice
According to the ex-PM's recollections, he selected the maverick economist Varoufakis to be his finance minister largely because of his international reputation and his “extremely attractive” skills when it came to public orator.
“He was, truthfully, more of a personality rather than an economic expert,” wrote the 51-year-old.
Conflicting Agendas
The former leader suggests that Varoufakis had his own motives which included promoting his books as well as experimenting with his theories using the nation rather than truly fighting for its economic stability.
Tsipras explained that the talks to stave off bankruptcy became “not only a method to secure a better deal for Greece. They were an experiment, a monumental chance to prove the truth of his ideas.”
Critical Negotiations
Amid volatile negotiations, the country came dangerously on the brink of leaving the single currency area.
On the line was both Greece's destiny and those severe austerity policies required in return for financial aid from international creditors.
Unsuccessful Options
Efforts to find financing from other sources, including a desperate plea to Russia to purchase Greek government bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum Followed by U-Turn
In July 2015, the harsh conditions were subjected to a popular referendum, an action which threw Europe into deeper existential crisis.
Although the vote was won resoundingly by voters against the cuts, the prime minister had little option but to ignore the result and negotiate a rescue deal from creditors which proved to be more severe.
Final Straw
Tsipras revealed that he began to doubt his finance minister quite early on.
“He was the face of the talks, the man who attracted publicity, who appeared on the covers of magazines globally … it seemed he relished his new role.”
After the minister proposed a contingency plan involving establishing a secondary currency as well as issuing coupons to retirees, Tsipras knew that it was the end and asked him: “Can you be serious?”
Lasting Criticism
In the book, the author concludes how Varoufakis had proved himself to be “unfit for an agreement that required complex and sensitive handling.”
Tsipras also wrote that his confrontational style left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were advocating Grexit.
This account of events has provoked fury along with stunned disbelief among certain groups, while the former minister has so far kept a deafening silence on the matter.
