Within his recently unveiled memoir, called Ithaki, the ex- leader Alexis Tsipras pulls no punches while he examines that turbulent era of Greece's economic turmoil.
A Controversial Appointment
As per the ex-PM's recollections, Tsipras selected the maverick economist Varoufakis as his treasury head mainly because of his worldwide fame and his “extremely attractive” abilities when it came to speaker.
“In reality, he was, truthfully, more of a celebrity and less of an economist,” stated Tsipras.
Conflicting Priorities
The former leader suggests that Varoufakis had a personal motives which included promoting Varoufakis's publications and experimenting with his economic models on Greece rather than truly advocating its financial survival.
Tsipras explained that the talks to prevent bankruptcy were “not just a method to secure improved terms for Greece. They became an experiment, an historic chance to prove the truth of Varoufakis's economic theories.”
High-Stakes Talks
Amid volatile negotiations, Greece came perilously close to leaving the single currency area.
On the line lay both the country's destiny and those punishing cutbacks demanded in exchange for financial aid from foreign lenders.
Failed Options
Attempts to find financing elsewhere, such as a desperate appeal to Russia to purchase Greek bonds, fell on stony ground.
Helping the indebted country was equivalent to throwing money in the trash-can, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, the harsh bailout terms were put to a popular referendum, an action which threw Europe into further existential crisis.
Even though the vote was carried resoundingly by those against the cuts, Tsipras was forced to reject its outcome then agree to a rescue deal from creditors which proved to be even harsher.
Final Straw
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the man who attracted media attention, who graced the covers of magazines globally … it seemed he relished the spotlight.”
After Varoufakis proposed a contingency plan that included establishing a secondary currency as well as distributing coupons to retirees, the leader said he realised that it was game over questioning him: “Can you be serious?”
Lasting Rebuke
Within the book, the author asserts that his former ally had proved himself “unfit for an agreement demanding complex and delicate management.”
He also claimed that his confrontational style made him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners that were pushing for a Greek exit from the euro.
The retelling of events has provoked fury and shock among certain groups, whereas Varoufakis has kept a deafening silence regarding these claims.
