Within his recently unveiled autobiography, titled Ithaki, the former leader Alexis Tsipras does not hold back while he examines that turbulent period of Greece's economic turmoil.
A Controversial Appointment
According to the ex-PM's account, he chose the unorthodox economist Varoufakis to be his treasury head mainly because of the latter's international reputation and his very persuasive skills as a public orator.
“He was, truthfully, more of a personality rather than an economist,” stated Tsipras.
Conflicting Agendas
The former leader alleges how Varoufakis had his own agenda which involved promoting his publications as well as experimenting with his game theories using the nation instead of truly advocating the country's financial survival.
He wrote that those talks to avoid bankruptcy were “not only a method to secure a better deal for the country. They were a test, a monumental chance to demonstrate the validity of his theories.”
Critical Negotiations
During tense negotiations, the country found itself perilously on the brink of exiting the single currency area.
On the line was not only the country's future and those punishing austerity measures required in exchange for bailout funds by foreign lenders.
Failed Options
Attempts to secure funds elsewhere, including an urgent appeal to the Kremlin to buy Greek government bonds, were rejected.
Assisting Greece was tantamount to throwing money in the trash-can, Putin is reputed to have informed Tsipras during their meeting.
Referendum and Reversal
In July 2015, those excoriating conditions were put to a popular referendum, an action that plunged Europe into a further existential crisis.
Although the referendum was won resoundingly by those against austerity, Tsipras had little option to ignore the result and agree to a bailout package from creditors that turned out to be tougher.
Breaking Point
The ex-PM claimed that he started questioning his finance minister quite early on.
“He was the public image of negotiation, the figure who attracted publicity, who appeared on the covers of publications globally … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy that included creating a parallel currency as well as distributing vouchers to retirees, the leader said he realised it was the end questioning him: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal that required intricate and delicate management.”
Tsipras also wrote that his aggressive style made him increasingly isolated with colleagues, put Greece at risk, and assisted hawks that were pushing for a Greek exit from the euro.
The retelling of history has been met with fury and stunned disbelief among certain groups, while Varoufakis has so far kept a deafening silence regarding these claims.
