Within his recently unveiled memoir, called Ithaki, the former premier Alexis Tsipras does not hold back while he examines that chaotic period during Greece's economic turmoil.
A Controversial Appointment
According to the ex-PM's account, he selected that maverick economist Yanis Varoufakis to be his finance minister largely due to the latter's international reputation along with Varoufakis's “extremely attractive” skills when it came to speaker.
“He was, actually, more of a celebrity and less of an economic expert,” wrote Tsipras.
Clashing Agendas
Tsipras alleges how his finance chief possessed his own motives which included promoting his publications and testing out his own game theories on Greece instead of truly advocating its financial survival.
He noted that the negotiations to avoid insolvency became “not just a method to secure a better deal for the country. They were a test, a monumental chance to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During tense negotiations, the country came perilously on the brink of exiting the eurozone.
On the line lay not only Greece's destiny and those harsh austerity policies demanded in exchange for bailout funds by foreign lenders.
Unsuccessful Alternatives
Efforts to secure financing elsewhere, such as an urgent plea to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote and U-Turn
That summer, those excoriating bailout terms were put to a popular referendum, an action that threw the EU into deeper crisis of identity.
Even though the referendum was won decisively by those who opposed the cuts, Tsipras had little option but to reject its outcome and negotiate a rescue deal with foreign lenders which turned out to be even harsher.
Final Straw
The ex-PM claimed how he started questioning his finance minister quite early on.
“He was the public image of the talks, the figure who attracted publicity, who graced the covers of publications globally … he gave the impression he relished his new role.”
After the minister proposed a backup strategy involving creating a parallel currency and issuing vouchers to retirees, the leader said he realised it was the end and asked him: “Can you be serious?”
Lasting Rebuke
Within the book, Tsipras asserts how his former ally had proved himself “unsuitable for an agreement that required complex and delicate management.”
He also wrote that his aggressive style left 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 provoked fury along with shock in some quarters, while the former minister has so far maintained a conspicuous quiet regarding these claims.
