Within his freshly published memoir, titled Ithaki, the ex- leader Alexis Tsipras does not hold back as he examines that turbulent period during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's version, Tsipras selected the unorthodox economist Yanis Varoufakis to be his treasury head mainly because of the latter's international reputation along with Varoufakis's very persuasive abilities as a speaker.
“He was, truthfully, more like a personality rather than an economic expert,” wrote Tsipras.
Conflicting Agendas
The former leader suggests how Varoufakis had his own agenda that included promoting Varoufakis's publications as well as experimenting with his theories on Greece instead of truly advocating its economic stability.
Tsipras explained that those discussions to avoid bankruptcy became “not only a way of achieving improved terms for Greece. They were an experiment, an historic chance to prove the truth of his economic theories.”
High-Stakes Talks
Amid tense negotiations, Greece came perilously on the brink of exiting the eurozone.
At stake lay not only Greece's future and those punishing austerity policies demanded in exchange for financial aid from foreign lenders.
Failed Alternatives
Efforts to find financing from other sources, such as an urgent appeal to the Kremlin to buy Greek bonds, went unanswered.
Helping Greece would be equivalent to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
In July 2015, those punitive bailout terms were subjected to a popular referendum, an action that threw the EU into a deeper crisis of identity.
Although the vote was carried resoundingly by those who opposed austerity, Tsipras had little option to ignore the result then negotiate a bailout package with creditors which turned out to be even harsher.
Final Straw
The ex-PM claimed that he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the man who drew publicity, who appeared on the covers of publications the world over … it seemed he was enjoying his new role.”
After the minister outlined a contingency plan that included establishing a parallel currency and issuing coupons to pensioners, Tsipras knew that it was game over and asked Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, Tsipras concludes how Varoufakis had proved himself “unfit for a deal demanding intricate and delicate handling.”
Tsipras further wrote that Varoufakis's aggressive style left him more and more alone among peers, put Greece at risk, while helped hawks who were pushing for Grexit.
This account of history has provoked fury and stunned disbelief among certain groups, whereas Varoufakis has so far maintained a deafening silence regarding these claims.
