In a newly released autobiography, named Ithaki, the former prime minister Alexis Tsipras does not hold back while he examines the chaotic period of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's version, Tsipras chose that unorthodox academic Varoufakis to be his treasury head primarily because of his global profile along with his highly compelling abilities as a public orator.
“He was, truthfully, more like a celebrity and less of an economic expert,” wrote Tsipras.
Conflicting Agendas
The former leader suggests that his finance chief had a personal agenda which involved promoting Varoufakis's publications and testing out his economic models on Greece rather than genuinely fighting for the country's economic stability.
He noted that those negotiations to stave off insolvency became “not just a way to secure a better deal for the country. They were an experiment, a monumental chance to prove the truth of his economic theories.”
High-Stakes Negotiations
During rollercoaster negotiations, Greece came perilously on the brink of leaving the single currency area.
On the line was both Greece's future but also the harsh cutbacks required in return for rescue loans from international creditors.
Unsuccessful Options
Attempts to find financing elsewhere, including an urgent appeal to Russia to purchase Greek government bonds, were rejected.
Helping Greece would be tantamount to tossing cash into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum and Reversal
In July 2015, those excoriating conditions were put to a public vote, a move that threw Europe into further existential crisis.
Although the referendum was carried decisively by those against austerity, the prime minister was forced to reject its outcome then agree to a rescue deal with creditors which turned out to be more severe.
Final Straw
Tsipras claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who attracted media attention, who appeared on the covers of publications globally … he gave the impression he relished his new role.”
After the minister proposed a contingency plan involving creating a secondary currency as well as issuing coupons to retirees, the leader knew it was the end questioning him: “Are you serious?”
Lasting Rebuke
In the memoir, the author concludes that Varoufakis had proved himself to be “unfit for a deal that required intricate and delicate management.”
He also claimed how his confrontational style left him more and more alone with colleagues, put Greece at risk, while assisted hawks that were advocating a Greek exit from the euro.
This account of history has provoked fury and stunned disbelief among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.
