Within his newly released personal account, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he revisits that turbulent era of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, Tsipras appointed the maverick academic Yanis Varoufakis to be his treasury head largely due to his international reputation and Varoufakis's highly compelling skills when it came to public orator.
“In reality, he was, truthfully, more like a star and less of an economist,” stated Tsipras.
Conflicting Agendas
Tsipras suggests how Varoufakis had his own motives which involved advancing Varoufakis's books as well as experimenting with his theories on Greece rather than genuinely advocating the country's economic stability.
He wrote that the negotiations to avoid insolvency were “not only a method to secure improved terms for the country. They became an experiment, a monumental chance to prove the validity of Varoufakis's economic theories.”
Critical Negotiations
Amid tense negotiations, the country found itself dangerously on the brink of leaving the eurozone.
On the line lay not only Greece's future but also the severe cutbacks demanded in return for financial aid by international creditors.
Failed Options
Attempts to find financing from other sources, such as an urgent appeal to the Kremlin to buy Greek bonds, were rejected.
Assisting Greece would be equivalent to throwing money into the garbage, Putin reportedly told his Greek counterpart in Moscow.
Referendum Followed by Reversal
In July 2015, those excoriating bailout terms were subjected to a popular referendum, a move that plunged the EU into a deeper existential crisis.
Even though the referendum was won decisively by those against austerity, the prime minister was forced to reject its outcome then agree to a bailout package from foreign lenders which proved to be more severe.
Breaking Point
Tsipras claimed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who appeared on the covers of magazines globally … it seemed he relished the spotlight.”
After Varoufakis outlined a backup strategy that included establishing a secondary currency as well as issuing vouchers to pensioners, Tsipras said he realised that it was game over and asked him: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes that his former ally demonstrated himself to be “unsuitable for an agreement demanding intricate and sensitive handling.”
Tsipras also claimed that Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, and assisted hawks that were advocating a Greek exit from the euro.
The retelling of events has been met with anger and shock in some quarters, while the former minister has so far maintained a deafening silence regarding these claims.
