In a newly released personal account, titled Ithaki, the former prime minister Alexis Tsipras does not hold back while he reflects on that chaotic era of Greece's economic turmoil.
An Unconventional Choice
As per the ex-PM's version, Tsipras chose the unorthodox economist Yanis Varoufakis to be the treasury head primarily because of the latter's global profile along with his very persuasive abilities when it came to public orator.
“He was, in reality, more like a star rather than an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader claims how his finance chief possessed a personal agenda which involved promoting Varoufakis's publications and testing out his economic models using the nation rather than truly advocating its financial survival.
Tsipras wrote how the negotiations to prevent bankruptcy became “not just a method of achieving a better deal for the country. They became an experiment, an historic opportunity to demonstrate the validity of his economic theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, the country came dangerously on the brink of exiting the eurozone.
At stake was both Greece's destiny but also those punishing cutbacks required in return for financial aid by foreign lenders.
Unsuccessful Options
Attempts to find funds elsewhere, including an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Helping Greece would be equivalent to tossing cash into the garbage, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
That summer, those excoriating conditions were put to a popular referendum, a move that plunged Europe into a deeper existential crisis.
Although the vote was carried resoundingly by voters against the cuts, Tsipras was forced but to ignore the result then negotiate a rescue deal with creditors that turned out to be even harsher.
Final Straw
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of negotiation, the man who attracted media attention, who appeared on the covers of publications globally … it seemed he was enjoying his new role.”
When Varoufakis outlined a backup strategy involving establishing a parallel currency and distributing coupons to retirees, Tsipras knew that it was game over questioning him: “Are you serious?”
Lasting Criticism
In the memoir, the author concludes that Varoufakis had proved himself “unfit for a deal that required complex and delicate handling.”
Tsipras further wrote that Varoufakis's aggressive approach left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
The account of history has provoked anger along with shock among certain groups, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
