In a recently unveiled memoir, titled Ithaki, the ex- leader Alexis Tsipras pulls no punches as he examines that turbulent period during Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's recollections, Tsipras chose that unorthodox economist Yanis Varoufakis as the finance minister primarily due to the latter's worldwide fame along with his highly compelling skills as a public orator.
“He was, actually, more like a star and less of an economist,” wrote the 51-year-old.
Conflicting Agendas
Tsipras claims that Varoufakis had a personal agenda that included promoting Varoufakis's publications and experimenting with his economic models using Greece rather than truly fighting for its economic stability.
Tsipras explained how those talks to prevent insolvency became “not just a way to secure improved terms for Greece. They became a test, an historic opportunity to prove the validity of his ideas.”
Critical Talks
Amid volatile negotiations, the country found itself perilously on the brink of leaving the single currency area.
At stake was not only the country's future but also the severe austerity policies required in exchange for rescue loans by international creditors.
Failed Alternatives
Efforts to find financing elsewhere, including an urgent plea to Russia to buy Greek bonds, went unanswered.
Helping the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Public Vote and Reversal
That summer, the punitive conditions were put to a popular referendum, a move which plunged the EU into deeper crisis of identity.
Although the vote was won resoundingly by those against austerity, Tsipras was forced but to ignore the result then agree to a bailout package from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM claimed that he started questioning his finance minister relatively soon.
“Varoufakis was the public image of the talks, the man who attracted publicity, who graced the front pages of publications globally … it seemed he relished his new role.”
After Varoufakis proposed a contingency plan involving establishing a parallel currency as well as issuing vouchers to retirees, the leader said he realised that it was the end questioning him: “Is this for real?”
Enduring Criticism
In the book, Tsipras asserts how Varoufakis demonstrated himself “unsuitable for a deal that required complex and delicate management.”
Tsipras also wrote that Varoufakis's aggressive style made him increasingly isolated with colleagues, put Greece at risk, while helped hawks that were pushing for a Greek exit from the euro.
This account of history has provoked anger along with shock in some quarters, while the former minister has kept a deafening silence regarding these claims.
