In a newly released personal account, named Ithaki, the ex- prime minister Alexis Tsipras spares no criticism while he revisits that chaotic period of Greece's financial crisis.
A Controversial Appointment
According to the ex-PM's recollections, Tsipras chose that unorthodox academic Yanis Varoufakis to be his treasury head primarily due to his worldwide fame along with Varoufakis's “extremely attractive” abilities as a public orator.
“In reality, he was, in reality, more of a personality rather than an economic expert,” stated the 51-year-old.
Conflicting Priorities
Tsipras alleges how his finance chief had his own motives that included promoting Varoufakis's books and testing out his own economic models using Greece instead of genuinely fighting for its economic stability.
Tsipras noted that the negotiations to prevent insolvency became “not only a way of achieving a better deal for Greece. They became an experiment, a monumental opportunity to demonstrate the truth of Varoufakis's theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, Greece came dangerously on the brink of leaving the single currency area.
On the line was both Greece's destiny and those punishing austerity policies demanded in exchange for bailout funds by international creditors.
Failed Options
Efforts to secure financing from other sources, such as an urgent appeal to Russia to buy Greek government bonds, were rejected.
Helping Greece would be tantamount to throwing money into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Referendum and Reversal
In July 2015, those harsh conditions were put to a public vote, an action that plunged Europe into a further existential crisis.
Although the vote was carried resoundingly by those against austerity, Tsipras had little option but to ignore the result then negotiate a bailout package with creditors which proved to be tougher.
Final Straw
Tsipras claimed that he began to doubt his finance minister relatively soon.
“He was the face of negotiation, the figure who attracted publicity, who graced the front pages of publications globally … it seemed he was enjoying his new role.”
After Varoufakis outlined a backup strategy involving creating a parallel currency as well as distributing vouchers to retirees, the leader said he realised it was game over questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, Tsipras concludes that his former ally demonstrated himself “unsuitable for a deal that required complex and delicate handling.”
Tsipras also claimed that his confrontational style made him increasingly isolated among peers, put Greece at risk, while assisted hawks that were pushing for a Greek exit from the euro.
The retelling of history has been met with anger along with stunned disbelief among certain groups, whereas Varoufakis has maintained a conspicuous quiet regarding these claims.
