Within his recently unveiled memoir, called Ithaki, the former prime minister Tsipras pulls no punches while he reflects on that turbulent era of Greece's financial crisis.
A Controversial Appointment
As per Tsipras's account, he chose the maverick academic Yanis Varoufakis as his treasury head largely because of the latter's worldwide fame along with his very persuasive skills as a communicator.
“He was, truthfully, more of a personality rather than an economist,” stated Tsipras.
Clashing Priorities
Tsipras suggests how Varoufakis had a personal motives which included advancing his books as well as experimenting with his own theories on Greece instead of truly fighting for the country's economic stability.
He noted how the discussions to avoid bankruptcy were “not only a method to secure a better deal for Greece. They became an experiment, an historic chance to prove the validity of his economic theories.”
High-Stakes Negotiations
Amid tense discussions, the country found itself dangerously close to exiting the single currency area.
At stake was not only the country's future and those punishing cutbacks required in exchange for rescue loans from foreign lenders.
Failed Options
Efforts to find financing from other sources, including a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told Tsipras in Moscow.
Public Vote and Reversal
In July 2015, those punitive conditions were put to a popular referendum, an action that threw Europe into further crisis of identity.
Even though the referendum was carried decisively by those who opposed the cuts, the prime minister had little option to ignore the result then agree to a rescue deal from creditors that turned out to be tougher.
Breaking Point
Tsipras revealed how he started questioning his finance minister relatively soon.
“Varoufakis was the public image of the talks, the man who attracted media attention, who appeared on the front pages of magazines globally … he gave the impression he relished his new role.”
When Varoufakis outlined a contingency plan involving establishing a secondary currency as well as distributing vouchers to pensioners, the leader said he realised it was the end and asked him: “Can you be serious?”
Enduring Rebuke
Within the book, the author asserts that his former ally had proved himself to be “unsuitable for an agreement demanding intricate and delicate handling.”
Tsipras also claimed that his confrontational style made him more and more alone among peers, endangered the country, and helped hardliners that were advocating a Greek exit from the euro.
The retelling of events has been met with anger along with stunned disbelief among certain groups, while Varoufakis has so far maintained a deafening silence regarding these claims.
