Within his newly released personal account, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches while he examines the chaotic era during Greece's debt drama.
An Unconventional Choice
In Tsipras's recollections, he selected the maverick academic Varoufakis as his treasury head primarily due to the latter's global profile and his highly compelling skills as a communicator.
“He was, actually, more of a personality rather than an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader suggests that Varoufakis had his own agenda that involved advancing Varoufakis's publications as well as testing out his own game theories on Greece instead of truly fighting for its economic stability.
He explained how those discussions to avoid insolvency became “not only a method to secure improved terms for the country. They were an experiment, an historic chance to prove the validity of his economic theories.”
High-Stakes Negotiations
Amid volatile discussions, the country found itself perilously close to leaving the eurozone.
At stake lay both the country's future but also those severe austerity measures demanded in exchange for bailout funds by foreign lenders.
Failed Options
Attempts to find financing from other sources, including a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country was equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras during their meeting.
Public Vote and Reversal
That summer, those harsh bailout terms were subjected to a popular referendum, an action that plunged Europe into deeper existential crisis.
Even though the referendum was won resoundingly by those against the cuts, the prime minister had little option but to ignore the result then negotiate a bailout package from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“He was the face of negotiation, the figure who drew publicity, who appeared on the covers of publications globally … it seemed he was enjoying his new role.”
When the minister proposed a backup strategy involving establishing a secondary currency and distributing coupons to pensioners, the leader knew that it was game over and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author concludes that Varoufakis had proved himself to be “unfit for a deal demanding intricate and sensitive handling.”
He further claimed that his aggressive style left him increasingly isolated among peers, endangered the country, while assisted hardliners who were pushing for Grexit.
This account of events has been met with anger and shock in some quarters, while Varoufakis has maintained a conspicuous quiet regarding these claims.
