In a recently unveiled memoir, called Ithaki, the former prime minister Tsipras does not hold back while he examines that turbulent period of Greece's financial crisis.
A Controversial Appointment
According to Tsipras's account, Tsipras selected the unorthodox academic Yanis Varoufakis to be his finance minister primarily due to the latter's international reputation along with Varoufakis's very persuasive skills as a speaker.
“In reality, he was, truthfully, more of a star rather than an economist,” stated Tsipras.
Clashing Priorities
The former leader claims how Varoufakis possessed his own agenda that included promoting Varoufakis's publications as well as testing out his game theories on the nation instead of genuinely fighting for the country's economic stability.
He explained how the talks to avoid bankruptcy were “not only a way of achieving a better deal for the country. They became a test, a monumental chance to demonstrate the validity of his ideas.”
High-Stakes Talks
Amid tense discussions, Greece came dangerously close to exiting the single currency area.
On the line was both Greece's destiny but also the punishing cutbacks demanded in return for financial aid by international creditors.
Unsuccessful Options
Attempts to find funds from other sources, such as a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece would be tantamount to tossing cash in the trash-can, Putin reportedly told Tsipras in Moscow.
Referendum Followed by Reversal
That summer, those punitive bailout terms were subjected to a public vote, a move which plunged Europe into a deeper existential crisis.
Although the referendum was won decisively by those against austerity, the prime minister was forced to reject its outcome and agree to a bailout package from creditors that proved to be tougher.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“He was the public image of negotiation, the man who attracted media attention, who appeared on the covers of magazines the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy involving establishing a secondary currency and issuing vouchers to pensioners, Tsipras said he realised it was game over questioning him: “Can you be serious?”
Enduring Criticism
In the book, the author asserts how Varoufakis demonstrated himself to be “unfit for a deal that required complex and delicate handling.”
Tsipras also wrote that his aggressive approach made him increasingly isolated with colleagues, endangered the country, while helped hawks who were advocating Grexit.
This account of events has been met with fury and shock among certain groups, while the former minister has kept a conspicuous quiet on the matter.
