Within his newly released autobiography, titled Ithaki, the former leader Alexis Tsipras does not hold back as he revisits that turbulent period of Greece's debt drama.
An Unconventional Appointment
According to the ex-PM's version, Tsipras appointed the maverick academic Yanis Varoufakis to be his treasury head mainly because of his worldwide fame and Varoufakis's very persuasive skills when it came to public orator.
“In reality, he was, in reality, more like a celebrity rather than an economic expert,” stated the 51-year-old.
Conflicting Agendas
The former leader suggests that his finance chief possessed his own motives which included promoting Varoufakis's books and experimenting with his theories on Greece rather than genuinely fighting for its financial survival.
Tsipras explained how those discussions to stave off bankruptcy were “not just a method of achieving improved terms for Greece. They became an experiment, a monumental chance to demonstrate the validity of his theories.”
High-Stakes Talks
Amid volatile discussions, Greece came perilously on the brink of exiting the single currency area.
At stake was not only Greece's future but also those severe austerity measures required in exchange for bailout funds by international creditors.
Unsuccessful Options
Efforts to secure financing from other sources, such as a desperate appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece was equivalent to throwing money in the trash-can, Putin reportedly informed his Greek counterpart in Moscow.
Referendum and Reversal
That summer, those punitive conditions were subjected to a public vote, an action which threw the EU into further crisis of identity.
Although the referendum was won resoundingly by those who opposed austerity, the prime minister was forced to reject its outcome and negotiate a rescue deal from creditors which turned out to be more severe.
Breaking Point
Tsipras revealed how he started questioning his finance minister relatively soon.
“He was the face of negotiation, the man who attracted media attention, who appeared on the front pages of publications the world over … it seemed he was enjoying his new role.”
When the minister outlined a contingency plan involving establishing a parallel currency as well as issuing vouchers to pensioners, Tsipras said he realised it was game over and asked him: “Are you serious?”
Enduring Criticism
Within the book, Tsipras asserts how Varoufakis had proved himself to be “unfit for an agreement that required complex and delicate handling.”
Tsipras further wrote that Varoufakis's aggressive approach made him increasingly isolated with colleagues, endangered the country, while assisted hardliners who were advocating a Greek exit from the euro.
This retelling of history has provoked anger along with stunned disbelief among certain groups, whereas the former minister has so far maintained a deafening silence on the matter.
