Within his recently unveiled memoir, named Ithaki, the ex- leader Tsipras does not hold back while he reflects on that turbulent era of Greece's debt drama.
An Unconventional Choice
As per the ex-PM's version, he appointed that maverick academic Yanis Varoufakis as his treasury head mainly because of his international reputation and his very persuasive abilities as a speaker.
“He was, actually, more like a personality and less of an economist,” wrote Tsipras.
Clashing Agendas
The former leader alleges how Varoufakis had his own agenda that included advancing Varoufakis's books as well as testing out his own game theories using the nation instead of genuinely fighting for its financial survival.
He wrote how the discussions to prevent bankruptcy became “not only a way to secure a better deal for the country. They became a test, an historic opportunity to prove the truth of his economic theories.”
Critical Talks
Amid rollercoaster negotiations, the country came dangerously close to leaving the single currency area.
On the line was both Greece's destiny but also those punishing austerity policies required in return for financial aid from foreign lenders.
Failed Alternatives
Attempts to secure financing from other sources, including an urgent appeal to Russia to buy Greek government bonds, were rejected.
Assisting the indebted country was equivalent to throwing money in the trash-can, Putin is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
In July 2015, the excoriating conditions were subjected to a public vote, an action which plunged the EU into a deeper existential crisis.
Even though the vote was won decisively by those against austerity, the prime minister was forced but to ignore the result then negotiate a rescue deal from creditors that proved to be more severe.
Final Straw
Tsipras claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the figure who drew media attention, who appeared on the front pages of magazines the world over … it seemed he relished the spotlight.”
After Varoufakis proposed a backup strategy involving creating a secondary currency as well as issuing vouchers to pensioners, the leader knew it was game over questioning him: “Is this for real?”
Lasting Criticism
Within the book, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal that required intricate and delicate management.”
He further wrote how his aggressive approach left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
This account of events has provoked anger along with stunned disbelief in some quarters, while the former minister has so far kept a deafening silence on the matter.
