In a newly released memoir, titled Ithaki, the ex- leader Alexis Tsipras pulls no punches as he revisits the chaotic period of Greece's debt drama.
An Unconventional Appointment
According to Tsipras's version, he appointed that unorthodox academic Yanis Varoufakis to be his finance minister primarily due to his worldwide fame and Varoufakis's “extremely attractive” skills when it came to speaker.
“In reality, he was, in reality, more like a celebrity and less of an economist,” recalled Tsipras.
Conflicting Agendas
The former leader claims that Varoufakis possessed a personal agenda that involved advancing Varoufakis's books as well as testing out his own game theories using the nation instead of truly advocating its financial survival.
Tsipras wrote how those negotiations to stave off bankruptcy became “not just a way to secure a better deal for the country. They were an experiment, a monumental chance to demonstrate the truth of his economic theories.”
High-Stakes Negotiations
During rollercoaster negotiations, the country came perilously close to exiting the single currency area.
On the line was both Greece's future and those severe austerity measures demanded in return for bailout funds by foreign lenders.
Failed Options
Efforts to secure funds elsewhere, including an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, those punitive bailout terms were put to a popular referendum, a move which plunged Europe into a further existential crisis.
Although the referendum was carried decisively by those who opposed the cuts, Tsipras had little option to reject its outcome then agree to a rescue deal with foreign lenders which proved to be more severe.
Breaking Point
The ex-PM revealed how he began to doubt Varoufakis relatively soon.
“He was the public image of the talks, the figure who drew publicity, who graced the covers of magazines globally … he gave the impression he relished the spotlight.”
After the minister outlined a backup strategy that included establishing a secondary currency and issuing vouchers to retirees, the leader said he realised it was game over and asked Varoufakis: “Is this for real?”
Enduring Criticism
Within the memoir, Tsipras asserts that his former ally had proved himself to be “unsuitable for a deal demanding intricate and sensitive management.”
He also claimed that Varoufakis's aggressive approach left him more and more alone among peers, endangered the country, while assisted hardliners that were advocating Grexit.
The retelling of history has been met with anger along with stunned disbelief in some quarters, while the former minister has so far kept a deafening silence on the matter.
