Within his newly released personal account, named Ithaki, the former premier Alexis Tsipras spares no criticism as he reflects on that turbulent period of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's account, he selected that maverick economist Yanis Varoufakis as the finance minister primarily because of the latter's global profile and his very persuasive abilities as a speaker.
“In reality, he was, truthfully, more like a star rather than an economist,” stated the 51-year-old.
Clashing Agendas
Tsipras suggests how his finance chief had a personal motives which involved promoting Varoufakis's publications as well as experimenting with his theories on the nation rather than truly advocating its economic stability.
Tsipras wrote that the talks to avoid bankruptcy were “not just a way to secure improved terms for Greece. They became a test, a monumental chance to demonstrate the validity of his economic theories.”
Critical Negotiations
During rollercoaster negotiations, Greece came dangerously on the brink of leaving the eurozone.
At stake was both Greece's future but also those punishing cutbacks demanded in return for financial aid by foreign lenders.
Unsuccessful Options
Attempts to find financing elsewhere, such as an urgent appeal to Russia to buy Greek government bonds, fell on stony ground.
Helping Greece was tantamount to tossing cash in the trash-can, Putin is reputed to have informed Tsipras during their meeting.
Referendum Followed by Reversal
That summer, the punitive bailout terms were put to a public vote, an action that plunged the EU into a further existential crisis.
Even though the referendum was won decisively by voters against the cuts, the prime minister had little option to reject its outcome and agree to a rescue deal with foreign lenders which turned out to be tougher.
Breaking Point
Tsipras revealed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who attracted media attention, who appeared on the covers of magazines the world over … he gave the impression he was enjoying the spotlight.”
When the minister outlined a backup strategy involving creating a secondary currency and distributing coupons to retirees, the leader said he realised it was game over questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
In the memoir, the author concludes that his former ally demonstrated himself “unfit for a deal that required intricate and sensitive handling.”
He also claimed that Varoufakis's confrontational style made him increasingly isolated among peers, endangered the country, while helped hawks who were pushing for Grexit.
This retelling of history has been met with fury along with shock among certain groups, while Varoufakis has so far kept a conspicuous quiet on the matter.
