In a recently unveiled autobiography, named Ithaki, the ex- premier Alexis Tsipras spares no criticism as he examines that chaotic era during Greece's debt drama.
An Unconventional Appointment
As per the ex-PM's account, Tsipras appointed that maverick academic Varoufakis to be the treasury head mainly due to the latter's international reputation and his “extremely attractive” skills as a public orator.
“He was, in reality, more of a personality rather than an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests that his finance chief possessed a personal agenda which included advancing his publications and testing out his theories using Greece rather than truly advocating the country's economic stability.
Tsipras wrote that the talks to stave off bankruptcy were “not just a method of achieving a better deal for the country. They became a test, an historic chance to demonstrate the validity of Varoufakis's theories.”
High-Stakes Negotiations
Amid volatile negotiations, the country came dangerously on the brink of exiting the single currency area.
On the line lay not only Greece's destiny and those harsh austerity measures required in return for bailout funds by international creditors.
Failed Alternatives
Efforts to secure funds from other sources, including an urgent plea to Russia to purchase Greek government bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money in the trash-can, Putin reportedly told his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, the punitive conditions were put to a popular referendum, a move that threw the EU into a deeper existential crisis.
Even though the referendum was won resoundingly by voters against the cuts, the prime minister had little option but to reject its outcome and agree to a rescue deal with creditors which proved to be more severe.
Final Straw
Tsipras claimed how he began to doubt his finance minister quite early on.
“He was the face of the talks, the figure who attracted media attention, who appeared on the front pages of publications globally … it seemed he was enjoying his new role.”
After Varoufakis proposed a backup strategy involving establishing a secondary currency as well as issuing vouchers to pensioners, the leader knew that it was the end and asked him: “Are you serious?”
Lasting Criticism
Within the book, Tsipras asserts that his former ally had proved himself to be “unfit for a deal demanding complex and sensitive management.”
He further wrote that Varoufakis's aggressive style made him increasingly isolated among peers, endangered the country, while helped hawks who were advocating Grexit.
The account of events has provoked fury and stunned disbelief in some quarters, whereas Varoufakis has maintained a conspicuous quiet on the matter.
