Within his recently unveiled memoir, titled Ithaki, the former leader Tsipras does not hold back while he reflects on the turbulent era during Greece's economic turmoil.
A Controversial Choice
As per the ex-PM's account, he chose that unorthodox economist Yanis Varoufakis to be the treasury head primarily due to the latter's worldwide fame and his highly compelling abilities as a communicator.
“He was, in reality, more of a personality and less of an economist,” recalled Tsipras.
Clashing Agendas
The former leader suggests that his finance chief had his own agenda which involved advancing Varoufakis's publications and experimenting with his own economic models on the nation rather than truly advocating its economic stability.
Tsipras wrote how those discussions to prevent insolvency were “not just a way of achieving improved terms for the country. They were a test, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
Amid volatile discussions, Greece came perilously close to leaving the single currency area.
On the line was both the country's destiny and those punishing austerity policies demanded in exchange for rescue loans from foreign lenders.
Failed Options
Attempts to find financing from other sources, such as a desperate appeal to Russia to buy Greek bonds, went unanswered.
Helping Greece was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by U-Turn
In July 2015, those harsh conditions were subjected to a popular referendum, a move that threw the EU into further crisis of identity.
Although the vote was carried resoundingly by voters against austerity, Tsipras had little option but to reject its outcome then negotiate a rescue deal from foreign lenders which proved to be more severe.
Breaking Point
Tsipras claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who graced the covers of magazines globally … it seemed he relished the spotlight.”
When the minister outlined a backup strategy that included creating a parallel currency and issuing vouchers to pensioners, the leader knew it was game over and asked him: “Is this for real?”
Lasting Rebuke
In the memoir, the author concludes how his former ally had proved himself to be “unsuitable for a deal demanding complex and delicate handling.”
He also wrote how his aggressive approach left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
The retelling of events has been met with anger and stunned disbelief among certain groups, whereas Varoufakis has so far kept a deafening silence regarding these claims.
