Within his recently unveiled memoir, called Ithaki, the ex- prime minister Tsipras pulls no punches while he reflects on the turbulent era during Greece's financial crisis.
A Controversial Appointment
In Tsipras's recollections, Tsipras appointed that unorthodox economist Yanis Varoufakis to be the treasury head mainly because of the latter's international reputation along with Varoufakis's “extremely attractive” abilities when it came to communicator.
“He was, actually, more of a star and less of an economic expert,” recalled Tsipras.
Clashing Agendas
The former leader alleges that his finance chief had a personal agenda that involved advancing Varoufakis's books as well as experimenting with his game theories using Greece rather than genuinely advocating its financial survival.
Tsipras noted how the discussions to avoid insolvency were “not just a method to secure improved terms for Greece. They were a test, a monumental opportunity to demonstrate the validity of Varoufakis's ideas.”
Critical Talks
During volatile negotiations, Greece found itself perilously on the brink of leaving the eurozone.
At stake lay both Greece's future but also those harsh austerity policies required in exchange for bailout funds by international creditors.
Failed Alternatives
Efforts to find financing elsewhere, such as an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Referendum Followed by U-Turn
That summer, the punitive bailout terms were subjected to a popular referendum, an action which threw Europe into a further crisis of identity.
Even though the vote was won resoundingly by those who opposed the cuts, the prime minister was forced but to reject its outcome and negotiate a bailout package from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed that he started questioning Varoufakis quite early on.
“He was the public image of the talks, the man who drew media attention, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
After Varoufakis proposed a contingency plan involving creating a parallel currency as well as issuing vouchers to retirees, the leader said he realised it was game over and asked him: “Can you be serious?”
Enduring Criticism
Within the book, the author concludes that Varoufakis demonstrated himself “unfit for an agreement that required complex and sensitive management.”
Tsipras also claimed how his confrontational approach made him more and more alone among peers, put Greece at risk, while helped hardliners who were pushing for a Greek exit from the euro.
This account of events has provoked fury along with stunned disbelief among certain groups, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
