In a recently unveiled personal account, named Ithaki, the former prime minister Alexis Tsipras spares no criticism as he reflects on the turbulent era of Greece's financial crisis.
A Controversial Choice
In the ex-PM's recollections, Tsipras selected that maverick economist Varoufakis as the treasury head mainly due to the latter's worldwide fame and his very persuasive abilities as a speaker.
“In reality, he was, in reality, more of a star rather than an economist,” recalled Tsipras.
Conflicting Priorities
The former leader alleges how Varoufakis had a personal agenda that involved advancing Varoufakis's publications and experimenting with his economic models using Greece instead of genuinely fighting for its financial survival.
He noted that those negotiations to avoid insolvency became “not just a way of achieving a better deal for the country. They were an experiment, an historic chance to demonstrate the truth of his economic theories.”
Critical Talks
During rollercoaster discussions, the country came dangerously close to leaving the eurozone.
At stake was not only the country's destiny and the severe austerity policies demanded in exchange for bailout funds by international creditors.
Unsuccessful Alternatives
Attempts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek bonds, were rejected.
Helping the indebted country was equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum and U-Turn
That summer, the harsh conditions were subjected to a public vote, an action which threw Europe into a further existential crisis.
Although the referendum was won resoundingly by those against the cuts, Tsipras was forced to reject its outcome then agree to a rescue deal from foreign lenders which turned out to be tougher.
Breaking Point
Tsipras claimed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who drew publicity, who appeared on the covers of publications globally … he gave the impression he was enjoying his new role.”
After the minister proposed a contingency plan that included establishing a parallel currency and distributing coupons to retirees, Tsipras said he realised it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the memoir, Tsipras concludes that his former ally demonstrated himself “unsuitable for a deal demanding intricate and sensitive management.”
He further wrote how his confrontational style left him more and more alone among peers, put Greece at risk, while assisted hardliners that were pushing for Grexit.
This account of history has provoked fury and stunned disbelief in some quarters, while the former minister has maintained a conspicuous quiet on the matter.
