In a newly released memoir, named Ithaki, the ex- leader Alexis Tsipras spares no criticism while he reflects on that turbulent period during Greece's debt drama.
A Controversial Appointment
According to the ex-PM's version, Tsipras selected that unorthodox academic Yanis Varoufakis to be the finance minister largely due to his global profile and Varoufakis's very persuasive skills as a speaker.
“He was, actually, more of a celebrity rather than an economic expert,” stated the 51-year-old.
Conflicting Agendas
Tsipras alleges how Varoufakis possessed a personal motives which involved advancing his books as well as experimenting with his own theories using the nation rather than truly fighting for its financial survival.
He explained how the discussions to stave off bankruptcy became “not just a way to secure a better deal for Greece. They were a test, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
During tense discussions, Greece came perilously on the brink of leaving the single currency area.
On the line was both Greece's future but also those punishing austerity measures required in return for bailout funds by international creditors.
Unsuccessful Alternatives
Attempts to secure financing from other sources, such as a desperate plea to Russia to buy Greek bonds, were rejected.
Helping Greece was tantamount to throwing money into the garbage, the Russian leader is reputed to have told Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the harsh bailout terms were put to a public vote, an action that threw the EU into further existential crisis.
Even though the vote was won decisively by those who opposed the cuts, the prime minister had little option to ignore the result and negotiate a bailout package from foreign lenders which proved to be even harsher.
Final Straw
The ex-PM claimed how he started questioning his finance minister quite early on.
“He was the public image of negotiation, the man who drew publicity, who graced the covers of publications the world over … it seemed he was enjoying the spotlight.”
After the minister outlined a backup strategy involving creating a secondary currency as well as issuing vouchers to retirees, Tsipras said he realised that it was game over and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the book, Tsipras asserts that Varoufakis demonstrated himself “unfit for a deal that required complex and sensitive handling.”
Tsipras further wrote that Varoufakis's confrontational style left him more and more alone among peers, endangered the country, while assisted hardliners that were advocating a Greek exit from the euro.
The retelling of events has provoked fury along with stunned disbelief in some quarters, while Varoufakis has so far maintained a deafening silence regarding these claims.
