In a recently unveiled personal account, titled Ithaki, the ex- prime minister Tsipras pulls no punches as he examines that turbulent era of Greece's economic turmoil.
An Unconventional Appointment
In Tsipras's version, Tsipras appointed that maverick economist Yanis Varoufakis as his finance minister mainly because of the latter's international reputation along with his “extremely attractive” abilities when it came to public orator.
“He was, actually, more of a personality rather than an economist,” wrote the 51-year-old.
Clashing Priorities
The former leader suggests how Varoufakis possessed his own agenda which involved promoting Varoufakis's publications as well as experimenting with his own economic models on Greece instead of truly advocating its financial survival.
Tsipras explained that those talks to avoid bankruptcy were “not just a way to secure improved terms for the country. They were a test, an historic opportunity to demonstrate the validity of his economic theories.”
High-Stakes Talks
During volatile discussions, the country found itself perilously close to leaving the eurozone.
On the line lay not only Greece's future and those punishing austerity policies required in exchange for bailout funds from foreign lenders.
Failed Options
Efforts to find funds from other sources, including a desperate appeal to the Kremlin to buy Greek government bonds, were rejected.
Assisting Greece would be tantamount to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
That summer, those punitive bailout terms were subjected to a popular referendum, an action which threw Europe into deeper existential crisis.
Even though the referendum was carried resoundingly by voters against the cuts, Tsipras had little option to ignore the result and agree to a bailout package from foreign lenders that turned out to be more severe.
Breaking Point
The ex-PM claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of negotiation, the man who attracted media attention, who appeared on the front pages of magazines globally … it seemed he was enjoying the spotlight.”
After the minister proposed a backup strategy that included establishing a parallel currency and issuing coupons to retirees, the leader said he realised that it was the end questioning him: “Is this for real?”
Enduring Rebuke
In the book, the author concludes how Varoufakis demonstrated himself to be “unfit for an agreement that required complex and sensitive handling.”
He also wrote how his aggressive style left him increasingly isolated among peers, put Greece at risk, while helped hawks who were pushing for Grexit.
This retelling of history has been met with fury along with shock among certain groups, while Varoufakis has so far maintained a conspicuous quiet on the matter.
