In a newly released memoir, named Ithaki, the ex- premier Tsipras spares no criticism while he reflects on the chaotic period of Greece's debt drama.
A Controversial Choice
As per the ex-PM's recollections, he appointed the unorthodox academic Varoufakis as his finance minister primarily because of his worldwide fame along with Varoufakis's “extremely attractive” skills as a communicator.
“He was, actually, more of a star and less of an economic expert,” stated Tsipras.
Conflicting Priorities
The former leader suggests how Varoufakis possessed a personal motives which included promoting Varoufakis's books as well as testing out his own game theories using the nation instead of genuinely advocating its financial survival.
Tsipras explained how those negotiations to prevent bankruptcy became “not just a way of achieving a better deal for Greece. They were a test, an historic chance to demonstrate the validity of Varoufakis's ideas.”
High-Stakes Negotiations
During tense discussions, the country came dangerously close to exiting the eurozone.
On the line lay both the country's destiny but also the severe austerity policies required in exchange for financial aid from international creditors.
Unsuccessful Options
Attempts to find financing elsewhere, such as a desperate appeal to Russia to buy Greek bonds, were rejected.
Helping Greece would be tantamount to tossing cash in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Public Vote Followed by Reversal
In July 2015, those excoriating conditions were put to a popular referendum, a move that plunged the EU into further existential crisis.
Although the referendum was won decisively by those who opposed the cuts, the prime minister was forced but to reject its outcome and agree to a rescue deal from foreign lenders that proved to be tougher.
Breaking Point
Tsipras revealed how he started questioning his finance minister quite early on.
“Varoufakis was the face of negotiation, the man who drew publicity, who graced the front pages of magazines globally … it seemed he relished the spotlight.”
After the minister outlined a backup strategy that included creating a secondary currency as well as issuing coupons to pensioners, the leader knew that it was the end and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras concludes that Varoufakis had proved himself “unsuitable for a deal demanding intricate and delicate management.”
Tsipras also wrote how Varoufakis's confrontational approach left him more and more alone with colleagues, put Greece at risk, while assisted hawks who were pushing for a Greek exit from the euro.
The retelling of events has provoked fury along with shock among certain groups, whereas the former minister has kept a deafening silence regarding these claims.
