In a newly released memoir, named Ithaki, the ex- prime minister Tsipras pulls no punches while he revisits that chaotic period of Greece's economic turmoil.
A Controversial Choice
According to the ex-PM's version, Tsipras selected that unorthodox economist Yanis Varoufakis to be the finance minister mainly due to the latter's worldwide fame along with Varoufakis's “extremely attractive” abilities as a public orator.
“He was, in reality, more of a star rather than an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader claims that Varoufakis possessed his own agenda that included promoting his publications and testing out his game theories using the nation instead of genuinely advocating the country's financial survival.
Tsipras wrote how the talks to stave off bankruptcy were “not just a method of achieving improved terms for the country. They became a test, an historic chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
Amid volatile negotiations, the country found itself dangerously on the brink of leaving the single currency area.
On the line lay both the country's future but also those punishing cutbacks required in exchange for bailout funds from international creditors.
Unsuccessful Alternatives
Efforts to secure funds from other sources, including an urgent appeal to the Kremlin to buy Greek government bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash into the garbage, the Russian leader reportedly informed his Greek counterpart in Moscow.
Referendum and Reversal
That summer, the punitive conditions were subjected to a public vote, an action which threw Europe into deeper existential crisis.
Even though the vote was carried decisively by voters against austerity, Tsipras was forced to reject its outcome and negotiate a rescue deal with foreign lenders which proved to be tougher.
Breaking Point
The ex-PM claimed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who appeared on the front pages of publications globally … he gave the impression he relished his new role.”
When the minister proposed a backup strategy involving establishing a secondary currency as well as distributing vouchers to retirees, Tsipras knew it was game over and asked him: “Can you be serious?”
Lasting Rebuke
In the book, the author asserts that his former ally had proved himself “unfit for a deal that required intricate and sensitive management.”
Tsipras further claimed how his aggressive style made him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for Grexit.
This account of history has been met with fury and stunned disbelief in some quarters, while Varoufakis has so far kept a deafening silence regarding these claims.
