In a recently unveiled memoir, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches as he reflects on that chaotic era of Greece's debt drama.
A Controversial Choice
As per the ex-PM's account, Tsipras appointed that maverick academic Yanis Varoufakis to be his treasury head mainly due to his worldwide fame along with Varoufakis's highly compelling skills as a communicator.
“In reality, he was, truthfully, more of a star rather than an economic expert,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests how Varoufakis possessed a personal motives which included advancing his books as well as testing out his economic models on Greece rather than genuinely advocating the country's financial survival.
He noted how those discussions to prevent bankruptcy became “not just a method of achieving a better deal for Greece. They became an experiment, an historic opportunity to prove the truth of Varoufakis's economic theories.”
Critical Negotiations
During volatile negotiations, the country came dangerously close to exiting the eurozone.
At stake lay not only Greece's future but also those punishing austerity policies required in return for financial aid by foreign lenders.
Unsuccessful Options
Efforts to secure funds elsewhere, including a desperate appeal to the Kremlin to buy Greek government bonds, went unanswered.
Assisting Greece was tantamount to throwing money in the trash-can, the Russian leader reportedly informed his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
In July 2015, those harsh bailout terms were put to a public vote, an action that threw the EU into a deeper existential crisis.
Although the referendum was won decisively by voters who opposed austerity, the prime minister had little option to reject its outcome and agree to a bailout package from creditors that proved to be tougher.
Final Straw
Tsipras revealed how he began to doubt Varoufakis relatively soon.
“He was the public image of negotiation, the figure who drew publicity, who graced the covers of magazines the world over … he gave the impression he was enjoying the spotlight.”
After the minister outlined a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, Tsipras knew that it was game over questioning him: “Is this for real?”
Enduring Rebuke
In the memoir, Tsipras concludes that Varoufakis demonstrated himself to be “unsuitable for an agreement that required complex and sensitive handling.”
Tsipras also claimed that his aggressive style left him increasingly isolated among peers, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
This account of events has provoked fury and stunned disbelief in some quarters, whereas the former minister has maintained a deafening silence regarding these claims.
