Within his newly released autobiography, called Ithaki, the former premier Alexis Tsipras pulls no punches as he revisits the turbulent era of Greece's debt drama.
An Unconventional Choice
According to the ex-PM's recollections, he appointed the unorthodox economist Yanis Varoufakis to be the finance minister primarily because of the latter's international reputation and Varoufakis's “extremely attractive” abilities as a public orator.
“He was, actually, more of a celebrity and less of an economist,” recalled Tsipras.
Clashing Agendas
Tsipras claims that his finance chief had a personal agenda which included promoting Varoufakis's publications as well as testing out his economic models on the nation rather than genuinely advocating its financial survival.
He noted that the negotiations to avoid bankruptcy became “not just a way to secure a better deal for the country. They became a test, a monumental chance to prove the truth of Varoufakis's economic theories.”
Critical Talks
Amid rollercoaster discussions, the country came dangerously close to leaving the eurozone.
At stake lay not only Greece's destiny but also those severe austerity policies demanded in exchange for rescue loans by international creditors.
Unsuccessful Options
Attempts to secure funds from other sources, such as a desperate plea to the Kremlin to purchase Greek government bonds, went unanswered.
Helping Greece would be equivalent to tossing cash into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum Followed by Reversal
That summer, those harsh bailout terms were subjected to a public vote, an action that plunged Europe into further crisis of identity.
Although the referendum was won resoundingly by voters who opposed the cuts, the prime minister had little option but to ignore the result and agree to a bailout package from creditors which proved to be even harsher.
Final Straw
Tsipras claimed how he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who drew publicity, who graced the covers of publications globally … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan involving establishing a parallel currency and issuing vouchers to pensioners, the leader said he realised it was game over questioning him: “Are you serious?”
Lasting Criticism
In the memoir, Tsipras asserts how his former ally had proved himself to be “unsuitable for an agreement that required intricate and delicate handling.”
Tsipras also claimed how Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, while helped hardliners who were pushing for a Greek exit from the euro.
The retelling of events has been met with fury and stunned disbelief in some quarters, whereas the former minister has so far maintained a deafening silence on the matter.
