Within his freshly published autobiography, named Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he reflects on the chaotic period of Greece's financial crisis.
A Controversial Choice
In Tsipras's recollections, Tsipras appointed that unorthodox academic Yanis Varoufakis as his finance minister largely because of the latter's international reputation along with his highly compelling abilities when it came to speaker.
“In reality, he was, actually, more like a celebrity and less of an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras alleges that Varoufakis possessed his own motives that involved advancing Varoufakis's publications as well as testing out his own economic models using Greece rather than genuinely fighting for the country's economic stability.
Tsipras wrote that the negotiations to avoid bankruptcy became “not only a method of achieving improved terms for the country. They became an experiment, a monumental opportunity to prove the validity of Varoufakis's economic theories.”
High-Stakes Talks
Amid rollercoaster discussions, Greece came perilously close to leaving the eurozone.
At stake lay both Greece's future but also the punishing austerity measures demanded in exchange for bailout funds from international creditors.
Unsuccessful Alternatives
Efforts to find funds from other sources, including an urgent appeal to the Kremlin to buy Greek bonds, were rejected.
Helping Greece would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum and Reversal
In July 2015, the punitive bailout terms were subjected to a popular referendum, a move that threw Europe into deeper crisis of identity.
Even though the vote was won decisively by voters who opposed the cuts, the prime minister was forced to reject its outcome then negotiate a rescue deal with creditors which proved to be even harsher.
Breaking Point
Tsipras claimed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who appeared on the front pages of publications globally … it seemed he relished the spotlight.”
When Varoufakis outlined a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, Tsipras knew that it was game over questioning Varoufakis: “Are you serious?”
Enduring Criticism
In the book, the author asserts how his former ally demonstrated himself “unfit for a deal demanding intricate and delicate management.”
Tsipras further claimed how his confrontational approach left him increasingly isolated among peers, endangered the country, while helped hawks who were advocating a Greek exit from the euro.
This account of events has provoked fury along with stunned disbelief in some quarters, while Varoufakis has so far maintained a deafening silence on the matter.
