Within his recently unveiled personal account, titled Ithaki, the former premier Alexis Tsipras spares no criticism while he revisits that turbulent period of Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's account, he appointed the unorthodox academic Varoufakis as the treasury head mainly because of the latter's international reputation and his very persuasive abilities as a speaker.
“He was, in reality, more of a star rather than an economic expert,” recalled the 51-year-old.
Conflicting Priorities
Tsipras suggests how Varoufakis had a personal motives that included advancing his publications as well as testing out his theories using the nation rather than genuinely advocating the country's economic stability.
He noted that the talks to avoid insolvency became “not only a way to secure a better deal for the country. They became an experiment, an historic opportunity to prove the validity of Varoufakis's theories.”
Critical Negotiations
During volatile discussions, Greece found itself dangerously close to leaving the eurozone.
At stake lay not only the country's future and the severe austerity policies demanded in exchange for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to find funds from other sources, including an urgent plea to the Kremlin to purchase Greek bonds, fell on stony ground.
Helping Greece was tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
In July 2015, the excoriating bailout terms were put to a popular referendum, a move that threw Europe into deeper crisis of identity.
Although the referendum was carried decisively by those who opposed the cuts, Tsipras was forced to reject its outcome and agree to a rescue deal from foreign lenders which turned out to be tougher.
Final Straw
Tsipras claimed that he started questioning Varoufakis quite early on.
“He was the face of the talks, the man who attracted media attention, who appeared on the front pages of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis outlined a contingency plan that included creating a parallel currency as well as distributing coupons to retirees, Tsipras knew it was game over questioning him: “Is this for real?”
Enduring Rebuke
In the book, the author concludes that his former ally had proved himself “unsuitable for a deal demanding complex and delicate management.”
He further claimed that Varoufakis's aggressive style left him increasingly isolated among peers, put Greece at risk, while helped hawks who were pushing for Grexit.
This account of history has been met with anger and stunned disbelief in some quarters, whereas Varoufakis has kept a deafening silence regarding these claims.
