Within his freshly published personal account, named Ithaki, the former premier Alexis Tsipras pulls no punches as he revisits the chaotic period during Greece's debt drama.
A Controversial Appointment
According to Tsipras's recollections, he chose that unorthodox economist Yanis Varoufakis to be the treasury head mainly due to his worldwide fame along with his highly compelling skills as a speaker.
“In reality, he was, actually, more like a celebrity and less of an economic expert,” stated Tsipras.
Clashing Priorities
Tsipras claims that his finance chief possessed his own motives which involved promoting Varoufakis's publications and testing out his own game theories on the nation instead of truly fighting for the country's financial survival.
Tsipras wrote how those talks to prevent insolvency became “not only a way to secure improved terms for Greece. They became a test, an historic opportunity to demonstrate the validity of his ideas.”
High-Stakes Negotiations
Amid volatile negotiations, the country found itself perilously on the brink of exiting the single currency area.
On the line was not only the country's destiny but also the harsh austerity measures required in return for rescue loans by international creditors.
Unsuccessful Options
Efforts to find financing elsewhere, such as an urgent plea to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting Greece was equivalent to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, the excoriating conditions were subjected to a popular referendum, a move that threw the EU into a further crisis of identity.
Although the vote was won resoundingly by voters who opposed austerity, the prime minister had little option to reject its outcome then agree to a bailout package from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the man who attracted media attention, who graced the covers of publications the world over … it seemed he relished the spotlight.”
After Varoufakis proposed a contingency plan that included establishing a parallel currency as well as issuing vouchers to retirees, Tsipras knew it was the end and asked Varoufakis: “Can you be serious?”
Lasting Criticism
In the book, Tsipras concludes that Varoufakis had proved himself “unsuitable for a deal that required complex and sensitive management.”
He further claimed how Varoufakis's confrontational approach left him increasingly isolated among peers, put Greece at risk, and assisted hardliners who were pushing for a Greek exit from the euro.
This retelling of history has been met with anger along with stunned disbelief among certain groups, whereas Varoufakis has kept a conspicuous quiet on the matter.
