Within his freshly published memoir, titled Ithaki, the former prime minister Tsipras pulls no punches as he revisits the chaotic era of Greece's financial crisis.
A Controversial Choice
As per Tsipras's account, Tsipras appointed that unorthodox economist Yanis Varoufakis as his finance minister largely because of the latter's international reputation and Varoufakis's “extremely attractive” skills as a communicator.
“In reality, he was, in reality, more of a star rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
The former leader suggests how his finance chief possessed his own agenda that included advancing his books as well as testing out his game theories using Greece rather than genuinely fighting for its economic stability.
He wrote that the talks to stave off bankruptcy were “not only a way to secure improved terms for the country. They were a test, an historic chance to prove the validity of Varoufakis's theories.”
Critical Talks
Amid tense discussions, the country found itself perilously on the brink of leaving the eurozone.
At stake was not only the country's future and the punishing cutbacks required in exchange for rescue loans by international creditors.
Unsuccessful Options
Attempts to secure funds from other sources, such as a desperate appeal to Russia to purchase Greek bonds, were rejected.
Helping the indebted country would be tantamount to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras during their meeting.
Public Vote and Reversal
In July 2015, the punitive bailout terms were subjected to a public vote, a move that plunged Europe into a deeper existential crisis.
Although the referendum was carried resoundingly by those against austerity, the prime minister had little option but to ignore the result and negotiate a bailout package with foreign lenders which turned out to be more severe.
Final Straw
The ex-PM claimed that he began to doubt 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 … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan that included creating a parallel currency and issuing coupons to retirees, Tsipras knew that it was game over and asked him: “Can you be serious?”
Enduring Rebuke
In the memoir, Tsipras asserts that Varoufakis had proved himself “unfit for an agreement that required intricate and sensitive handling.”
Tsipras further wrote how his aggressive style made him increasingly isolated among peers, put Greece at risk, and assisted hawks that were advocating a Greek exit from the euro.
This account of events has been met with anger along with stunned disbelief in some quarters, while the former minister has so far kept a conspicuous quiet regarding these claims.
