In a recently unveiled personal account, titled Ithaki, the former prime minister Tsipras does not hold back while he examines that chaotic era during Greece's financial crisis.
A Controversial Choice
According to the ex-PM's recollections, Tsipras appointed that maverick academic Yanis Varoufakis to be the treasury head mainly because of the latter's worldwide fame and Varoufakis's “extremely attractive” abilities when it came to public orator.
“In reality, he was, in reality, more of a celebrity rather than an economist,” stated Tsipras.
Conflicting Priorities
Tsipras claims how Varoufakis had a personal motives which included promoting Varoufakis's books and experimenting with his theories using the nation instead of truly advocating its economic stability.
He wrote that the negotiations to stave off bankruptcy became “not only a method of achieving improved terms for the country. They became a test, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
Critical Negotiations
During rollercoaster discussions, the country came perilously on the brink of leaving the eurozone.
At stake was both Greece's destiny but also those severe austerity measures demanded in exchange for bailout funds from foreign lenders.
Unsuccessful Alternatives
Attempts to secure funds elsewhere, including an urgent plea to the Kremlin to buy Greek bonds, were rejected.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin is reputed to have informed Tsipras in Moscow.
Public Vote Followed by Reversal
In July 2015, the punitive bailout terms were put to a popular referendum, an action which threw the EU into a further crisis of identity.
Although the vote was carried decisively by voters against the cuts, Tsipras had little option but to ignore the result then agree to a bailout package with creditors which proved to be more severe.
Final Straw
Tsipras revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of the talks, the figure who drew publicity, who graced the covers of publications globally … he gave the impression he was enjoying the spotlight.”
After the minister outlined a backup strategy involving establishing a parallel currency and distributing vouchers to pensioners, the leader knew that it was game over and asked him: “Is this for real?”
Lasting Rebuke
Within the book, Tsipras concludes how Varoufakis demonstrated himself to be “unfit for a deal demanding intricate and sensitive handling.”
He further wrote how Varoufakis's aggressive approach made him increasingly isolated with colleagues, endangered the country, while assisted hawks that were pushing for a Greek exit from the euro.
This retelling of history has provoked fury along with stunned disbelief in some quarters, while the former minister has so far maintained a deafening silence regarding these claims.
