Within his freshly published autobiography, named Ithaki, the former leader Alexis Tsipras spares no criticism as he examines the turbulent period during Greece's debt drama.
A Controversial Appointment
In the ex-PM's account, Tsipras appointed that maverick academic Varoufakis to be the treasury head largely due to the latter's worldwide fame and his “extremely attractive” abilities when it came to speaker.
“In reality, he was, truthfully, more like a star rather than an economic expert,” recalled the 51-year-old.
Clashing Agendas
The former leader alleges how his finance chief had his own agenda which involved promoting his books as well as experimenting with his own economic models on Greece rather than genuinely advocating its economic stability.
He wrote that those talks to stave off bankruptcy were “not just a way to secure improved terms for the country. They were an experiment, an historic chance to demonstrate the validity of Varoufakis's ideas.”
High-Stakes Talks
During rollercoaster discussions, Greece came dangerously on the brink of exiting the single currency area.
At stake lay both the country's future but also those harsh cutbacks required in exchange for rescue loans by international creditors.
Failed Alternatives
Attempts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek government bonds, were rejected.
Assisting Greece was tantamount to tossing cash into the garbage, the Russian leader is reputed to have told Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the harsh conditions were put to a public vote, a move which plunged Europe into a further existential crisis.
Although the vote was won resoundingly by voters who opposed the cuts, the prime minister was forced but to reject its outcome then agree to a bailout package from foreign lenders which turned out to be tougher.
Breaking Point
Tsipras revealed that he started questioning his finance minister quite early on.
“Varoufakis was the face of the talks, the man who attracted media attention, who graced the covers of magazines globally … he gave the impression he relished the spotlight.”
After the minister proposed a backup strategy that included establishing a secondary currency and issuing vouchers to pensioners, the leader knew that it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes that Varoufakis demonstrated himself to be “unfit for a deal demanding complex and sensitive handling.”
Tsipras also wrote how Varoufakis's aggressive style left him increasingly isolated with colleagues, endangered the country, and assisted hawks who were advocating a Greek exit from the euro.
The retelling of events has been met with fury along with stunned disbelief among certain groups, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
