In a newly released autobiography, named Ithaki, the ex- premier Alexis Tsipras pulls no punches while he revisits the turbulent period during Greece's debt drama.
A Controversial Choice
As per Tsipras's recollections, he chose that unorthodox academic Yanis Varoufakis as his treasury head mainly due to the latter's international reputation and Varoufakis's highly compelling skills as a speaker.
“He was, actually, more like a personality and less of an economic expert,” wrote the 51-year-old.
Conflicting Agendas
Tsipras suggests how Varoufakis had a personal agenda that included advancing his publications as well as testing out his game theories using Greece instead of genuinely advocating its economic stability.
Tsipras noted how those talks to stave off bankruptcy became “not just a way of achieving a better deal for Greece. They were a test, a monumental opportunity to demonstrate the truth of his economic theories.”
Critical Negotiations
During rollercoaster negotiations, the country found itself dangerously on the brink of exiting the single currency area.
At stake was both the country's destiny and those punishing cutbacks demanded in return for rescue loans from international creditors.
Unsuccessful Options
Attempts to find funds from other sources, including a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Public Vote and U-Turn
That summer, those excoriating bailout terms were subjected to a public vote, a move which plunged Europe into a deeper crisis of identity.
Although the vote was carried decisively by voters who opposed the cuts, Tsipras was forced to ignore the result then negotiate a bailout package with foreign lenders that proved to be more severe.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“He was the face of negotiation, the man who attracted publicity, who graced the covers of publications globally … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included creating a parallel currency and issuing vouchers to pensioners, Tsipras knew that it was game over and asked him: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras concludes that Varoufakis demonstrated himself to be “unsuitable for an agreement demanding intricate and delicate handling.”
He also wrote that Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, and assisted hawks that were pushing for a Greek exit from the euro.
The retelling of events has been met with anger along with stunned disbelief among certain groups, while the former minister has so far maintained a deafening silence regarding these claims.
