Within his freshly published personal account, named Ithaki, the ex- leader Tsipras pulls no punches as he examines that turbulent era of Greece's economic turmoil.
An Unconventional Appointment
In the ex-PM's account, Tsipras appointed the maverick academic Yanis Varoufakis as his finance minister largely because of the latter's global profile along with his highly compelling abilities as a speaker.
“In reality, he was, in reality, more of a personality rather than an economist,” recalled Tsipras.
Clashing Agendas
Tsipras suggests that Varoufakis had a personal motives that involved advancing Varoufakis's books and experimenting with his own economic models on Greece instead of truly fighting for the country's economic stability.
Tsipras noted how those discussions to prevent insolvency became “not just a way to secure improved terms for the country. They were an experiment, an historic chance to prove the validity of his economic theories.”
Critical Talks
During rollercoaster discussions, the country found itself dangerously on the brink of exiting the single currency area.
At stake lay both the country's future but also the punishing austerity measures demanded in return for bailout funds by international creditors.
Failed Alternatives
Efforts to secure financing from other sources, such as an urgent appeal to Russia to purchase Greek government bonds, were rejected.
Helping Greece was tantamount to tossing cash in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, those harsh conditions were subjected to a public vote, an action which plunged the EU into deeper existential crisis.
Although the vote was carried decisively by those who opposed austerity, the prime minister was forced to reject its outcome and agree to a rescue deal with creditors that proved to be even harsher.
Final Straw
Tsipras revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of negotiation, the man who attracted media attention, who appeared on the covers of publications the world over … it seemed he relished the spotlight.”
When the minister proposed a backup strategy that included establishing a parallel currency as well as distributing vouchers to retirees, the leader knew it was the end and asked Varoufakis: “Can you be serious?”
Enduring Criticism
In the book, Tsipras concludes that Varoufakis demonstrated himself “unsuitable for an agreement demanding complex and delicate handling.”
He also wrote that his aggressive approach made him more and more alone with colleagues, put Greece at risk, while helped hardliners who were advocating a Greek exit from the euro.
The account of events has provoked anger along with stunned disbelief in some quarters, while the former minister has so far maintained a conspicuous quiet on the matter.
