Within his newly released memoir, called Ithaki, the former premier Tsipras pulls no punches while he reflects on that turbulent period of Greece's economic turmoil.
A Controversial Appointment
According to Tsipras's account, he appointed that unorthodox economist Yanis Varoufakis as the treasury head primarily due to his worldwide fame and Varoufakis's very persuasive skills when it came to speaker.
“He was, truthfully, more of a celebrity and less of an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras suggests how Varoufakis had a personal agenda that included promoting his publications and experimenting with his own economic models on Greece rather than truly fighting for its financial survival.
Tsipras noted how the discussions to prevent bankruptcy were “not only a way of achieving improved terms for the country. They were an experiment, an historic opportunity to prove the truth of his theories.”
Critical Talks
Amid tense negotiations, Greece came dangerously on the brink of exiting the single currency area.
On the line was both the country's destiny and those harsh austerity policies required in exchange for rescue loans by foreign lenders.
Failed Alternatives
Attempts to secure funds from other sources, such as a desperate plea to Russia to purchase Greek government bonds, fell on stony ground.
Assisting the indebted country was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.
Referendum and U-Turn
That summer, those harsh conditions were subjected to a public vote, a move which threw the EU into deeper existential crisis.
Although the referendum was carried resoundingly by voters who opposed the cuts, the prime minister was forced but to reject its outcome then negotiate a bailout package with foreign lenders that proved to be tougher.
Final Straw
Tsipras claimed that he started questioning Varoufakis relatively soon.
“He was the public image of negotiation, the figure who drew publicity, who appeared on the covers of publications the world over … he gave the impression he relished his new role.”
After the minister outlined a backup strategy that included establishing a secondary currency and issuing vouchers to pensioners, Tsipras knew that it was the end and asked Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes how Varoufakis had proved himself “unsuitable for a deal demanding intricate and delicate handling.”
Tsipras further wrote that his confrontational style left him increasingly isolated with colleagues, endangered the country, and helped hawks who were advocating Grexit.
This retelling of history has provoked fury along with stunned disbelief among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.
