In a newly released memoir, titled Ithaki, the ex- leader Tsipras does not hold back as he reflects on the turbulent period of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's recollections, Tsipras appointed that unorthodox academic Yanis Varoufakis as his treasury head largely due to the latter's worldwide fame and his “extremely attractive” abilities when it came to speaker.
“In reality, he was, truthfully, more like a star rather than an economist,” recalled Tsipras.
Clashing Priorities
Tsipras claims how his finance chief had a personal motives that involved advancing his publications and testing out his theories on the nation instead of truly advocating the country's financial survival.
He explained that the negotiations to stave off bankruptcy became “not only a way of achieving a better deal for Greece. They became a test, a monumental opportunity to demonstrate the truth of Varoufakis's theories.”
Critical Talks
Amid rollercoaster discussions, the country found itself perilously close to leaving the eurozone.
On the line lay both the country's future but also the harsh austerity policies demanded in exchange for financial aid from foreign lenders.
Unsuccessful Options
Efforts to secure financing elsewhere, such as a desperate plea to Russia to buy Greek government bonds, went unanswered.
Assisting the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
In July 2015, those excoriating conditions were subjected to a popular referendum, a move that plunged Europe into further existential crisis.
Even though the vote was won decisively by those against austerity, Tsipras had little option to ignore the result then agree to a bailout package from creditors that turned out to be even harsher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis relatively soon.
“He was the public image of negotiation, the man who drew publicity, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
After the minister proposed a contingency plan that included establishing a parallel currency and issuing coupons to retirees, Tsipras said he realised it was game over questioning him: “Is this for real?”
Lasting Criticism
In the book, Tsipras concludes how Varoufakis demonstrated himself “unsuitable for an agreement that required intricate and delicate management.”
Tsipras also wrote that Varoufakis's confrontational approach made him more and more alone among peers, put Greece at risk, and assisted hardliners that were pushing for a Greek exit from the euro.
The retelling of events has provoked fury and stunned disbelief among certain groups, whereas Varoufakis has maintained a deafening silence regarding these claims.
