Within his newly released memoir, titled Ithaki, the ex- prime minister Tsipras pulls no punches as he revisits that chaotic period during Greece's debt drama.
A Controversial Appointment
According to Tsipras's recollections, he selected the maverick academic Yanis Varoufakis as his treasury head primarily because of the latter's worldwide fame and his very persuasive abilities when it came to communicator.
“In reality, he was, actually, more of a star rather than an economic expert,” stated the 51-year-old.
Clashing Priorities
The former leader alleges that his finance chief possessed a personal motives that included advancing his publications as well as testing out his own economic models on the nation instead of genuinely fighting for its economic stability.
He wrote how those discussions to avoid insolvency became “not just a method of achieving improved terms for the country. They were an experiment, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster discussions, Greece came perilously on the brink of exiting the single currency area.
On the line lay not only the country's future but also those punishing cutbacks demanded in return for financial aid from foreign lenders.
Failed Options
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting the indebted country was tantamount to tossing cash in the trash-can, Putin is reputed to have told Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, those excoriating conditions were put to a public vote, an action which threw Europe into deeper crisis of identity.
Although the referendum was carried resoundingly by those against the cuts, the prime minister was forced but to reject its outcome and negotiate a rescue deal with creditors that proved to be tougher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who drew media attention, who appeared on the front pages of publications the world over … he gave the impression he relished his new role.”
After Varoufakis outlined a backup strategy involving establishing a parallel currency as well as distributing vouchers to retirees, Tsipras knew that it was the end and asked him: “Are you serious?”
Lasting Criticism
Within the book, the author concludes how Varoufakis had proved himself “unfit for an agreement demanding complex and sensitive handling.”
He further wrote how his aggressive style made him more and more alone among peers, endangered the country, while helped hardliners who were advocating Grexit.
The retelling of history has provoked anger and shock in some quarters, while the former minister has so far kept a conspicuous quiet on the matter.
