In a freshly published autobiography, titled Ithaki, the former leader Alexis Tsipras pulls no punches while he examines the chaotic period during Greece's economic turmoil.
A Controversial Choice
As per the ex-PM's account, he selected the unorthodox economist Yanis Varoufakis to be the finance minister mainly because of the latter's global profile and his “extremely attractive” abilities as a speaker.
“In reality, he was, truthfully, more like a celebrity rather than an economist,” recalled Tsipras.
Clashing Agendas
Tsipras claims that his finance chief possessed his own motives that involved promoting Varoufakis's publications as well as testing out his game theories using Greece instead of genuinely fighting for its financial survival.
Tsipras wrote how those discussions to prevent insolvency were “not only a way to secure improved terms for the country. They became an experiment, an historic chance to prove the validity of his economic theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, Greece came perilously close to leaving the single currency area.
At stake was both Greece's future but also those severe austerity measures demanded in return for financial aid by foreign lenders.
Failed Alternatives
Efforts to find funds elsewhere, such as a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote and Reversal
In July 2015, those punitive conditions were subjected to a popular referendum, an action that plunged the EU into a further existential crisis.
Although the referendum was carried resoundingly by voters who opposed austerity, Tsipras was forced to reject its outcome and negotiate a bailout package with foreign lenders that turned out to be more severe.
Breaking Point
Tsipras claimed that he started questioning his finance minister quite early on.
“He was the face of negotiation, the figure who drew publicity, who appeared on the front pages of magazines globally … it seemed he was enjoying the spotlight.”
After the minister proposed a backup strategy that included creating a secondary currency and issuing coupons to retirees, Tsipras said he realised it was game over and asked Varoufakis: “Can you be serious?”
Enduring Criticism
Within the book, Tsipras concludes that his former ally had proved himself to be “unsuitable for a deal demanding intricate and delicate handling.”
He further claimed that Varoufakis's confrontational style left him increasingly isolated with colleagues, endangered the country, while helped hardliners who were advocating Grexit.
The retelling of events has provoked fury along with shock among certain groups, while Varoufakis has so far kept a deafening silence regarding these claims.
