Within his newly released personal account, named Ithaki, the former premier Alexis Tsipras pulls no punches while he revisits that turbulent period during Greece's debt drama.
A Controversial Choice
According to Tsipras's version, Tsipras appointed that maverick economist Yanis Varoufakis to be the finance minister primarily because of his international reputation and his “extremely attractive” abilities when it came to public orator.
“In reality, he was, truthfully, more of a celebrity rather than an economist,” stated the 51-year-old.
Clashing Priorities
The former leader alleges how his finance chief possessed his own agenda which involved promoting his books as well as testing out his economic models on the nation instead of genuinely fighting for its economic stability.
Tsipras wrote how those talks to prevent bankruptcy were “not only a way to secure improved terms for the country. They became a test, an historic chance to demonstrate the validity of his economic theories.”
Critical Negotiations
Amid rollercoaster discussions, the country found itself dangerously on the brink of leaving the single currency area.
At stake was not only Greece's destiny and the severe austerity measures required in return for financial aid by foreign lenders.
Failed Alternatives
Attempts to secure financing elsewhere, including an urgent appeal to Russia to buy Greek bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the harsh conditions were subjected to a public vote, an action that threw Europe into deeper existential crisis.
Even though the referendum was won decisively by those who opposed austerity, Tsipras had little option to ignore the result and agree to a bailout package from foreign lenders which proved to be even harsher.
Final Straw
Tsipras claimed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the man who attracted publicity, who appeared on the covers of magazines the world over … it seemed he was enjoying his new role.”
After Varoufakis outlined a contingency plan involving establishing a secondary currency as well as issuing coupons to pensioners, Tsipras knew it was game over questioning Varoufakis: “Is this for real?”
Lasting Criticism
In the book, Tsipras asserts how his former ally had proved himself “unsuitable for an agreement that required intricate and sensitive handling.”
Tsipras also claimed how Varoufakis's confrontational approach made him increasingly isolated with colleagues, endangered the country, while helped hardliners who were advocating Grexit.
This retelling of events has been met with fury along with shock in some quarters, whereas Varoufakis has maintained a deafening silence regarding these claims.
