In a recently unveiled personal account, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches while he reflects on the chaotic era of Greece's debt drama.
An Unconventional Appointment
According to Tsipras's account, Tsipras chose that maverick academic Yanis Varoufakis to be his finance minister mainly due to his international reputation and Varoufakis's highly compelling abilities when it came to public orator.
“In reality, he was, truthfully, more of a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Priorities
The former leader suggests that his finance chief had his own agenda that included promoting his publications and testing out his game theories on Greece rather than truly advocating the country's economic stability.
He wrote how the talks to prevent insolvency were “not only a way to secure a better deal for the country. They became an experiment, a monumental opportunity to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
Amid volatile negotiations, the country came perilously on the brink of leaving the single currency area.
At stake lay both Greece's future but also the severe cutbacks demanded in exchange for bailout funds by international creditors.
Failed Options
Efforts to find financing elsewhere, including a desperate plea to the Kremlin to buy Greek bonds, were rejected.
Assisting Greece was equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the punitive bailout terms were subjected to a popular referendum, a move which plunged Europe into a deeper existential crisis.
Even though the vote was carried decisively by those who opposed the cuts, the prime minister was forced but to reject its outcome then negotiate a rescue deal with creditors which proved to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“He was the face of the talks, the man who drew media attention, who graced the covers of publications globally … it seemed he relished the spotlight.”
After the minister proposed a backup strategy involving establishing a secondary currency as well as distributing vouchers to pensioners, Tsipras knew that it was game over questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the memoir, Tsipras concludes that Varoufakis demonstrated himself “unsuitable for a deal that required intricate and delicate handling.”
Tsipras also wrote that his aggressive approach left him more and more alone with colleagues, endangered the country, while helped hardliners that were advocating a Greek exit from the euro.
This retelling of events has provoked fury and stunned disbelief in some quarters, while Varoufakis has maintained a conspicuous quiet regarding these claims.
