In a freshly published memoir, named Ithaki, the former leader Alexis Tsipras spares no criticism while he revisits the turbulent period during Greece's financial crisis.
A Controversial Choice
In Tsipras's version, he appointed the unorthodox economist Yanis Varoufakis as the treasury head largely because of the latter's global profile along with Varoufakis's “extremely attractive” skills as a public orator.
“He was, truthfully, more of a star and less of an economist,” stated Tsipras.
Clashing Agendas
The former leader alleges how Varoufakis had a personal motives that included promoting his books and experimenting with his own theories on Greece rather than genuinely advocating its financial survival.
He noted how the discussions to prevent bankruptcy were “not only a method of achieving a better deal for Greece. They were an experiment, an historic opportunity to demonstrate the truth of Varoufakis's ideas.”
Critical Negotiations
During tense negotiations, Greece found itself dangerously close to leaving the eurozone.
At stake lay both the country's destiny but also those severe austerity measures required in return for bailout funds by international creditors.
Unsuccessful Options
Efforts to find financing elsewhere, including a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country would be tantamount to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
In July 2015, those excoriating conditions were subjected to a public vote, a move that threw Europe into a deeper crisis of identity.
Even though the vote was won resoundingly by those who opposed austerity, Tsipras was forced to reject its outcome and negotiate a rescue deal from foreign lenders that turned out to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who drew publicity, who graced the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy involving creating a parallel currency as well as issuing coupons to pensioners, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Enduring Rebuke
Within the book, Tsipras concludes that Varoufakis had proved himself “unfit for an agreement demanding complex and sensitive handling.”
Tsipras further wrote how his aggressive style left him more and more alone among peers, endangered the country, while helped hawks who were advocating a Greek exit from the euro.
The retelling of events has provoked anger and shock in some quarters, while Varoufakis has so far kept a conspicuous quiet on the matter.
