In a recently unveiled personal account, named Ithaki, the former prime minister Tsipras does not hold back while he examines that chaotic era during Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's account, he chose the unorthodox economist Yanis Varoufakis as the finance minister mainly due to the latter's international reputation along with his “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more of a star and less of an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader claims how his finance chief had his own agenda that included advancing Varoufakis's publications as well as testing out his game theories using the nation rather than truly fighting for its economic stability.
He explained how the negotiations to prevent insolvency were “not just a method to secure improved terms for Greece. They became a test, an historic chance to prove the truth of Varoufakis's ideas.”
Critical Negotiations
During rollercoaster negotiations, Greece found itself perilously close to leaving the single currency area.
On the line was not only Greece's future and those harsh austerity policies required in return for financial aid by foreign lenders.
Failed Alternatives
Attempts to find financing elsewhere, such as an urgent plea to Russia to buy Greek bonds, went unanswered.
Assisting the indebted country would be equivalent to throwing money into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Referendum and U-Turn
That summer, those excoriating conditions were subjected to a popular referendum, a move which threw the EU into a further crisis of identity.
Even though the referendum was carried resoundingly by those who opposed austerity, the prime minister was forced but to ignore the result then agree to a bailout package from creditors which proved to be tougher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who appeared on the covers of publications the world over … he gave the impression he was enjoying the spotlight.”
After Varoufakis outlined a backup strategy involving creating a secondary currency as well as issuing coupons to pensioners, the leader knew that it was game over and asked him: “Are you serious?”
Enduring Criticism
Within the book, Tsipras concludes that Varoufakis demonstrated himself “unsuitable for a deal demanding complex and sensitive handling.”
He also claimed that his confrontational approach made him increasingly isolated among peers, endangered the country, while assisted hardliners that were pushing for Grexit.
The retelling of events has been met with anger and stunned disbelief in some quarters, while Varoufakis has so far maintained a conspicuous quiet on the matter.
