Within his freshly published autobiography, named Ithaki, the former leader Alexis Tsipras pulls no punches while he examines that turbulent period of Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's recollections, he chose the unorthodox economist Yanis Varoufakis as the treasury head mainly due to his international reputation along with Varoufakis's very persuasive skills as a speaker.
“He was, actually, more of a celebrity and less of an economist,” stated Tsipras.
Conflicting Priorities
The former leader alleges how Varoufakis had a personal motives which involved advancing his publications and experimenting with his economic models on Greece instead of genuinely advocating the country's economic stability.
Tsipras noted that those talks to stave off bankruptcy were “not just a method to secure a better deal for Greece. They were a test, an historic opportunity to prove the validity of his theories.”
High-Stakes Negotiations
During rollercoaster negotiations, the country found itself dangerously close to leaving the eurozone.
On the line was not only the country's future and the severe cutbacks required in exchange for financial aid from foreign lenders.
Unsuccessful Alternatives
Efforts to secure funds from other sources, such as a desperate appeal to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting Greece was tantamount to throwing money into the garbage, the Russian leader reportedly informed his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the excoriating conditions were subjected to a public vote, a move that plunged the EU into a deeper crisis of identity.
Although the vote was carried resoundingly by voters against the cuts, Tsipras had little option but to reject its outcome then negotiate a bailout package from foreign lenders that proved to be tougher.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the face of the talks, the figure who attracted media attention, who appeared on the covers of publications the world over … he gave the impression he was enjoying his new role.”
After the minister outlined a backup strategy that included establishing a parallel currency as well as issuing coupons to retirees, Tsipras knew it was game over and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the book, the author asserts that his former ally demonstrated himself to be “unsuitable for a deal that required intricate and delicate management.”
He further wrote how Varoufakis's aggressive style left him more and more alone among peers, put Greece at risk, and helped hawks who were pushing for Grexit.
The account of events has been met with fury and stunned disbelief in some quarters, whereas the former minister has so far kept a conspicuous quiet regarding these claims.
