In a recently unveiled autobiography, called Ithaki, the ex- leader Alexis Tsipras does not hold back while he revisits that turbulent period of Greece's debt drama.
A Controversial Appointment
In the ex-PM's recollections, Tsipras selected that maverick academic Varoufakis as the treasury head largely because of the latter's global profile along with Varoufakis's very persuasive abilities when it came to communicator.
“He was, actually, more of a celebrity and less of an economist,” recalled the 51-year-old.
Conflicting Priorities
The former leader suggests how his finance chief had his own motives that included promoting his publications as well as testing out his economic models on Greece instead of genuinely advocating its financial survival.
He wrote how the discussions to avoid insolvency were “not just a method of achieving improved terms for the country. They became an experiment, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Talks
Amid rollercoaster discussions, Greece came dangerously on the brink of exiting the eurozone.
On the line was both the country's future and those severe austerity policies demanded in return for financial aid from international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, such as a desperate plea to Russia to buy Greek bonds, went unanswered.
Assisting the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Referendum and Reversal
That summer, those punitive conditions were put to a popular referendum, a move that plunged the EU into a deeper crisis of identity.
Even though the referendum was won decisively by those against austerity, the prime minister was forced to ignore the result and agree to a rescue deal from foreign lenders that turned out to be more severe.
Final Straw
Tsipras revealed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who drew media attention, who graced the covers of publications the world over … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a contingency plan that included creating a secondary currency and issuing coupons to pensioners, the leader knew that it was game over and asked him: “Can you be serious?”
Lasting Rebuke
In the book, the author asserts that Varoufakis had proved himself “unfit for an agreement demanding complex and delicate management.”
He also claimed how his aggressive approach made him more and more alone among peers, endangered the country, and assisted hawks that were pushing for a Greek exit from the euro.
The retelling of history has provoked fury and shock in some quarters, while the former minister has kept a conspicuous quiet on the matter.
