In a recently unveiled memoir, called Ithaki, the former premier Tsipras spares no criticism while he examines that turbulent period of Greece's financial crisis.
A Controversial Choice
As per the ex-PM's account, he selected that maverick economist Varoufakis as the treasury head largely because of his international reputation and Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, truthfully, more of a star rather than an economist,” stated Tsipras.
Conflicting Priorities
The former leader claims how Varoufakis possessed his own motives that involved promoting his publications and testing out his economic models using Greece instead of truly fighting for its financial survival.
Tsipras wrote how the negotiations to stave off insolvency became “not only a method to secure a better deal for Greece. They became an experiment, an historic chance to demonstrate the validity of his theories.”
High-Stakes Negotiations
Amid tense negotiations, the country came perilously on the brink of exiting the single currency area.
At stake was both Greece's destiny but also the harsh austerity measures required in exchange for bailout funds by international creditors.
Unsuccessful Alternatives
Efforts to find financing elsewhere, including a desperate plea to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money into the garbage, Putin reportedly told Tsipras during their meeting.
Referendum Followed by Reversal
In July 2015, those harsh bailout terms were subjected to a public vote, a move that plunged the EU into further existential crisis.
Although the vote was carried resoundingly by those who opposed the cuts, Tsipras was forced but to ignore the result then agree to a rescue deal with foreign lenders that proved to be tougher.
Breaking Point
Tsipras claimed that he started questioning Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted publicity, who graced the covers of publications globally … it seemed he relished the spotlight.”
After Varoufakis proposed a contingency plan that included creating a parallel currency and issuing coupons to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Can you be serious?”
Enduring Criticism
Within the memoir, Tsipras asserts how his former ally demonstrated himself to be “unfit for an agreement demanding intricate and delicate handling.”
He further claimed that his confrontational approach made him more and more alone with colleagues, put Greece at risk, and assisted hawks that were pushing for Grexit.
This retelling of events has provoked fury along with shock among certain groups, while the former minister has maintained a deafening silence regarding these claims.
