In a newly released personal account, titled Ithaki, the former premier Tsipras spares no criticism while he revisits that turbulent era during Greece's economic turmoil.
A Controversial Appointment
As per Tsipras's account, Tsipras selected the unorthodox academic Yanis Varoufakis as his treasury head largely due to his international reputation along with Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, actually, more like a celebrity and less of an economist,” stated Tsipras.
Clashing Agendas
The former leader claims how Varoufakis had his own motives which involved promoting Varoufakis's books and testing out his game theories using Greece rather than genuinely fighting for its economic stability.
Tsipras noted that the talks to prevent insolvency were “not only a method to secure improved terms for the country. They became an experiment, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
Amid volatile negotiations, Greece found itself dangerously on the brink of leaving the single currency area.
At stake was not only the country's destiny and those severe austerity measures required in exchange for financial aid by foreign lenders.
Unsuccessful Options
Attempts to secure financing elsewhere, including a desperate plea to Russia to purchase Greek bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash into the garbage, the Russian leader reportedly told his Greek counterpart in Moscow.
Public Vote and U-Turn
In July 2015, the excoriating bailout terms were subjected to a popular referendum, a move which threw Europe into a deeper crisis of identity.
Although the referendum was won decisively by voters against austerity, Tsipras had little option but to reject its outcome and negotiate a rescue deal from foreign lenders that proved to be even harsher.
Breaking Point
Tsipras revealed how he started questioning his finance minister quite early on.
“Varoufakis was the face of the talks, the man who attracted publicity, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
When Varoufakis outlined a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, the leader said he realised it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the memoir, Tsipras asserts how his former ally demonstrated himself to be “unfit for an agreement that required complex and sensitive management.”
Tsipras also wrote that Varoufakis's aggressive style made him increasingly isolated among peers, put Greece at risk, while assisted hardliners that were advocating a Greek exit from the euro.
This retelling of history has been met with anger along with stunned disbelief in some quarters, while the former minister has kept a conspicuous quiet regarding these claims.
