In a newly released memoir, named Ithaki, the former leader Tsipras spares no criticism as he reflects on that turbulent period during Greece's debt drama.
A Controversial Choice
According to the ex-PM's account, Tsipras chose that maverick economist Varoufakis as his treasury head largely due to his international reputation along with his “extremely attractive” abilities when it came to communicator.
“He was, actually, more like a personality and less of an economist,” stated Tsipras.
Conflicting Priorities
The former leader claims how his finance chief had his own agenda that involved promoting his publications and experimenting with his economic models on the nation rather than genuinely advocating its economic stability.
He noted that the discussions to stave off bankruptcy became “not just a way to secure improved terms for the country. They were an experiment, a monumental opportunity to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came dangerously close to leaving the eurozone.
At stake was both the country's future but also those punishing cutbacks required in exchange for rescue loans by international creditors.
Unsuccessful Options
Attempts to find financing from other sources, such as a desperate plea to Russia to purchase Greek bonds, went unanswered.
Helping Greece would be tantamount to tossing cash into the garbage, the Russian leader reportedly informed Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, the punitive bailout terms were put to a public vote, an action that threw the EU into deeper existential crisis.
Although the vote was won decisively by voters against the cuts, Tsipras had little option but to reject its outcome and negotiate a bailout package with creditors which turned out to be tougher.
Final Straw
The ex-PM revealed how he began to doubt his finance minister quite early on.
“He was the face of the talks, the figure who attracted publicity, who graced the covers of magazines globally … it seemed he was enjoying the spotlight.”
When Varoufakis outlined a backup strategy that included establishing a parallel currency as well as distributing coupons to retirees, the leader knew it was the end and asked Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, the author asserts that Varoufakis had proved himself “unfit for an agreement that required intricate and sensitive handling.”
He further wrote how Varoufakis's aggressive approach left him increasingly isolated with colleagues, put Greece at risk, while helped hardliners who were pushing for Grexit.
This account of events has provoked fury along with stunned disbelief among certain groups, while the former minister has maintained a conspicuous quiet on the matter.
