In a newly released memoir, called Ithaki, the former leader Alexis Tsipras does not hold back while he revisits that turbulent period of Greece's economic turmoil.
A Controversial Appointment
As per the ex-PM's recollections, Tsipras appointed that maverick academic Yanis Varoufakis as his finance minister primarily because of his international reputation along with his “extremely attractive” abilities as a public orator.
“He was, in reality, more like a star and less of an economist,” recalled Tsipras.
Clashing Agendas
Tsipras alleges that his finance chief possessed a personal motives that included advancing his books and experimenting with his theories using Greece rather than genuinely fighting for the country's financial survival.
He wrote that those negotiations to stave off insolvency were “not just a way to secure improved terms for Greece. They were an experiment, a monumental chance to demonstrate the validity of his theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, Greece found itself dangerously close to leaving the eurozone.
At stake was both the country's destiny and the severe cutbacks demanded in return for bailout funds from foreign lenders.
Failed Alternatives
Efforts to find financing elsewhere, such as an urgent plea to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting the indebted country was equivalent to throwing money in the trash-can, Putin is reputed to have informed his Greek counterpart during their meeting.
Referendum and Reversal
In July 2015, those excoriating bailout terms were subjected to a public vote, a move that threw the EU into a deeper crisis of identity.
Even though the vote was won resoundingly by those who opposed the cuts, Tsipras had little option but to reject its outcome then agree to a bailout package from foreign lenders which turned out to be more severe.
Final Straw
The ex-PM claimed how he began to doubt Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew media attention, who graced the covers of publications globally … it seemed he was enjoying the spotlight.”
After the minister proposed a contingency plan that included establishing a parallel currency as well as distributing coupons to pensioners, Tsipras said he realised that it was game over and asked him: “Can you be serious?”
Lasting Criticism
In the book, Tsipras asserts how his former ally had proved himself “unfit for a deal demanding intricate and delicate handling.”
Tsipras further wrote how his aggressive approach left him more and more alone with colleagues, put Greece at risk, while helped hawks that were advocating a Greek exit from the euro.
The account of events has been met with anger along with stunned disbelief among certain groups, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
