Within his newly released autobiography, named Ithaki, the ex- prime minister Tsipras does not hold back as he examines that chaotic era of Greece's financial crisis.
A Controversial Choice
In Tsipras's account, he chose the unorthodox academic Yanis Varoufakis to be the finance minister largely due to his worldwide fame and Varoufakis's very persuasive abilities as a communicator.
“He was, in reality, more of a personality and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
The former leader suggests how his finance chief possessed his own motives which involved advancing his books and testing out his own game theories using Greece instead of truly fighting for its financial survival.
He noted that the discussions to avoid insolvency became “not only a method to secure a better deal for the country. They became an experiment, a monumental chance to prove the truth of his economic theories.”
High-Stakes Talks
During tense negotiations, the country came dangerously on the brink of leaving the eurozone.
At stake was not only Greece's destiny but also the punishing austerity measures demanded in return for bailout funds from foreign lenders.
Failed Alternatives
Efforts to secure funds elsewhere, including a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Public Vote Followed by Reversal
In July 2015, those excoriating bailout terms were put to a popular referendum, a move that plunged the EU into further crisis of identity.
Even though the referendum was carried decisively by those who opposed austerity, Tsipras was forced to ignore the result and negotiate a bailout package from foreign lenders which proved to be tougher.
Final Straw
Tsipras claimed how he began to doubt his finance minister relatively soon.
“He was the public image of the talks, the man who drew media attention, who graced the covers of publications globally … it seemed he relished the spotlight.”
When Varoufakis proposed a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, Tsipras said he realised that it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
Within the book, Tsipras asserts that his former ally demonstrated himself “unfit for a deal that required complex and sensitive management.”
He further claimed that his confrontational approach left him more and more alone with colleagues, put Greece at risk, while assisted hardliners who were pushing for Grexit.
The account of events has been met with anger along with stunned disbelief in some quarters, while the former minister has so far kept a deafening silence regarding these claims.
