In a newly released personal account, called Ithaki, the former prime minister Alexis Tsipras pulls no punches as he examines that chaotic era of Greece's economic turmoil.
A Controversial Appointment
According to Tsipras's account, he selected that maverick academic Yanis Varoufakis to be his finance minister largely due to his international reputation and Varoufakis's highly compelling skills when it came to speaker.
“In reality, he was, in reality, more like a personality and less of an economic expert,” stated Tsipras.
Clashing Priorities
The former leader claims how Varoufakis had a personal agenda which included promoting Varoufakis's publications and experimenting with his theories on Greece instead of truly advocating its economic stability.
Tsipras noted that those discussions to prevent insolvency became “not just a method to secure improved terms for the country. They were a test, a monumental chance to demonstrate the validity of Varoufakis's economic theories.”
Critical Talks
Amid tense discussions, Greece came perilously close to exiting the eurozone.
At stake lay both the country's destiny but also those punishing austerity measures required in exchange for financial aid from international creditors.
Unsuccessful Options
Efforts to find financing from other sources, including an urgent plea to the Kremlin to buy Greek bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, Putin reportedly informed Tsipras in Moscow.
Public Vote Followed by U-Turn
In July 2015, those excoriating bailout terms were subjected to a popular referendum, an action that threw the EU into a further existential crisis.
Although the vote was won decisively by those against austerity, Tsipras was forced but to reject its outcome and agree to a bailout package with creditors that turned out to be even harsher.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who attracted media attention, who appeared on the covers of magazines globally … he gave the impression he relished his new role.”
When Varoufakis proposed a backup strategy involving establishing a secondary currency and distributing coupons to pensioners, Tsipras said he realised that it was game over and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the book, Tsipras concludes how Varoufakis demonstrated himself “unfit for a deal demanding complex and sensitive handling.”
He also claimed that Varoufakis's aggressive style made him more and more alone with colleagues, put Greece at risk, and assisted hawks that were advocating a Greek exit from the euro.
This retelling of history has provoked fury and stunned disbelief among certain groups, while Varoufakis has maintained a deafening silence on the matter.
