In a freshly published personal account, titled Ithaki, the former premier Alexis Tsipras spares no criticism as he examines that turbulent period of Greece's financial crisis.
An Unconventional Appointment
As per Tsipras's account, he selected the maverick economist Yanis Varoufakis as the treasury head mainly because of the latter's global profile along with Varoufakis's “extremely attractive” skills as a public orator.
“In reality, he was, actually, more of a star rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader suggests that his finance chief had a personal motives that involved promoting Varoufakis's publications and testing out his own theories using the nation rather than truly fighting for the country's financial survival.
He noted how the talks to prevent bankruptcy were “not only a way of achieving a better deal for Greece. They became an experiment, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
Amid volatile negotiations, Greece came perilously on the brink of leaving the single currency area.
At stake was both Greece's destiny but also those harsh cutbacks demanded in return for rescue loans by international creditors.
Unsuccessful Options
Efforts to find financing elsewhere, such as an urgent appeal to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote Followed by Reversal
In July 2015, those punitive bailout terms were subjected to a popular referendum, an action which threw the EU into deeper crisis of identity.
Although the referendum was carried resoundingly by voters against the cuts, Tsipras had little option to ignore the result then negotiate a bailout package from creditors that proved to be tougher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis relatively soon.
“He was the face of the talks, the figure who attracted media attention, who appeared on the front pages of magazines globally … it seemed he was enjoying the spotlight.”
When the minister outlined a contingency plan that included establishing a parallel currency as well as issuing coupons to pensioners, the leader said he realised it was game over and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
In the book, Tsipras concludes how Varoufakis demonstrated himself “unfit for an agreement that required complex and delicate handling.”
Tsipras also claimed how Varoufakis's confrontational style left him more and more alone among peers, put Greece at risk, and assisted hardliners that were advocating a Greek exit from the euro.
The retelling of history has provoked fury along with shock among certain groups, while the former minister has so far kept a conspicuous quiet regarding these claims.
