Within his newly released autobiography, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he revisits the chaotic era during Greece's debt drama.
An Unconventional Appointment
According to the ex-PM's account, he selected that maverick academic Yanis Varoufakis as his treasury head mainly due to his worldwide fame and Varoufakis's “extremely attractive” skills as a communicator.
“He was, truthfully, more like a star rather than an economic expert,” stated Tsipras.
Conflicting Priorities
The former leader alleges how his finance chief had a personal agenda which involved advancing Varoufakis's books and testing out his own economic models using the nation instead of genuinely advocating the country's economic stability.
Tsipras wrote how those talks to avoid bankruptcy were “not only a way to secure a better deal for the country. They were a test, a monumental opportunity to demonstrate the truth of Varoufakis's theories.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came dangerously on the brink of leaving the single currency area.
At stake lay both Greece's future and those punishing cutbacks demanded in return for bailout funds from international creditors.
Unsuccessful Alternatives
Efforts to find funds elsewhere, including an urgent appeal to the Kremlin to purchase Greek government bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money in the trash-can, Putin is reputed to have informed his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, those punitive bailout terms were put to a public vote, a move which threw Europe into further existential crisis.
Although the referendum was carried decisively by voters against the cuts, Tsipras was forced but to ignore the result then negotiate a bailout package with creditors which proved to be even harsher.
Breaking Point
Tsipras revealed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who graced the front pages of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy that included establishing a secondary currency as well as distributing coupons to pensioners, Tsipras knew it was game over and asked Varoufakis: “Are you serious?”
Lasting Criticism
Within the book, Tsipras concludes how Varoufakis had proved himself “unfit for an agreement that required intricate and delicate handling.”
He also claimed that his confrontational approach left him increasingly isolated with colleagues, endangered the country, while helped hardliners who were advocating a Greek exit from the euro.
This retelling of history has been met with anger and shock among certain groups, whereas the former minister has maintained a conspicuous quiet regarding these claims.
