Within his recently unveiled memoir, titled Ithaki, the ex- premier Alexis Tsipras pulls no punches as he examines the turbulent era of Greece's financial crisis.
An Unconventional Appointment
In the ex-PM's version, Tsipras selected the unorthodox academic Yanis Varoufakis to be his finance minister primarily because of the latter's international reputation along with Varoufakis's highly compelling skills when it came to public orator.
“In reality, he was, truthfully, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Priorities
The former leader alleges that Varoufakis had his own agenda which included advancing Varoufakis's publications and testing out his theories using the nation instead of truly fighting for its financial survival.
Tsipras noted how those discussions to avoid bankruptcy became “not only a method of achieving a better deal for the country. They were a test, a monumental opportunity to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During rollercoaster negotiations, the country found itself dangerously close to exiting the single currency area.
At stake lay both the country's destiny and the harsh austerity measures required in return for bailout funds from international creditors.
Failed Alternatives
Attempts to secure financing from other sources, such as an urgent appeal to Russia to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to throwing money in the trash-can, Putin reportedly told his Greek counterpart in Moscow.
Referendum and U-Turn
That summer, the harsh bailout terms were put to a popular referendum, an action which plunged Europe into deeper crisis of identity.
Even though the referendum was won decisively by those against the cuts, the prime minister was forced to reject its outcome and agree to a rescue deal with foreign lenders which turned out to be tougher.
Breaking Point
Tsipras revealed how he started questioning his finance minister relatively soon.
“He was the public image of negotiation, the man who attracted media attention, who appeared on the front pages of publications globally … it seemed he relished his new role.”
After the minister proposed a backup strategy involving establishing a parallel currency and issuing coupons to pensioners, the leader knew it was the end and asked him: “Can you be serious?”
Lasting Rebuke
Within the book, Tsipras concludes that Varoufakis demonstrated himself to be “unfit for a deal demanding intricate and delicate handling.”
He further claimed how his confrontational style left him more and more alone with colleagues, put Greece at risk, and helped hardliners that were pushing for a Greek exit from the euro.
The retelling of events has been met with anger and stunned disbelief among certain groups, while the former minister has so far kept a deafening silence on the matter.
