Within his newly released personal account, called Ithaki, the ex- prime minister Tsipras pulls no punches as he examines that chaotic era during Greece's debt drama.
A Controversial Choice
In the ex-PM's account, he appointed that unorthodox economist Yanis Varoufakis to be the treasury head mainly because of his global profile and Varoufakis's “extremely attractive” skills when it came to public orator.
“In reality, he was, truthfully, more of a celebrity rather than an economist,” stated the 51-year-old.
Conflicting Agendas
Tsipras alleges how Varoufakis had a personal agenda which involved advancing his publications and testing out his own economic models using the nation rather than genuinely advocating its financial survival.
He wrote how the talks to stave off insolvency were “not just a way of achieving improved terms for Greece. They became a test, an historic chance to demonstrate the truth of Varoufakis's theories.”
High-Stakes Negotiations
During tense discussions, Greece came dangerously on the brink of leaving the single currency area.
On the line was not only Greece's future and the harsh austerity measures required in return for rescue loans by foreign lenders.
Failed Alternatives
Attempts to find funds from other sources, such as a desperate appeal to Russia to buy Greek bonds, went unanswered.
Helping Greece would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed Tsipras during their meeting.
Public Vote and Reversal
In July 2015, those harsh conditions were put to a popular referendum, an action which threw the EU into a further crisis of identity.
Even though the referendum was won decisively by those who opposed austerity, Tsipras had little option but to ignore the result and agree to a rescue deal from foreign lenders that turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who drew media attention, who appeared on the covers of magazines globally … it seemed he relished his new role.”
When Varoufakis proposed a backup strategy that included establishing a secondary currency as well as issuing coupons to pensioners, Tsipras knew it was the end questioning him: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras concludes how Varoufakis had proved himself to be “unfit for a deal demanding complex and delicate management.”
Tsipras also wrote how his aggressive approach made him increasingly isolated among peers, put Greece at risk, while assisted hawks that were pushing for a Greek exit from the euro.
The retelling of events has provoked anger along with shock among certain groups, while the former minister has so far maintained a conspicuous quiet on the matter.
