In a recently unveiled personal account, titled Ithaki, the ex- premier Tsipras spares no criticism while he revisits the chaotic period during Greece's financial crisis.
A Controversial Choice
According to Tsipras's recollections, Tsipras chose the maverick economist Yanis Varoufakis as the treasury head largely because of his worldwide fame and Varoufakis's very persuasive skills when it came to communicator.
“In reality, he was, actually, more of a personality rather than an economic expert,” stated the 51-year-old.
Conflicting Agendas
The former leader claims that Varoufakis possessed a personal motives which included promoting Varoufakis's publications as well as testing out his own economic models using Greece instead of truly fighting for its financial survival.
He wrote that those talks to avoid insolvency became “not only a method to secure improved terms for the country. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's theories.”
Critical Talks
During rollercoaster negotiations, Greece found itself perilously close to exiting the single currency area.
On the line was not only the country's destiny but also the severe austerity measures required in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, such as an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Assisting Greece would be tantamount to tossing cash in the trash-can, Putin reportedly told Tsipras during their meeting.
Referendum and U-Turn
That summer, those punitive conditions were subjected to a popular referendum, an action that plunged the EU into a further existential crisis.
Even though the referendum was carried resoundingly by voters who opposed austerity, Tsipras was forced but to ignore the result and agree to a rescue deal from creditors which turned out to be more severe.
Breaking Point
Tsipras revealed that he started questioning his finance minister relatively soon.
“He was the public image of negotiation, the figure who drew media attention, who graced the covers of magazines globally … it seemed he was enjoying the spotlight.”
After the minister outlined a backup strategy involving creating a secondary currency and issuing coupons to retirees, Tsipras knew that it was game over and asked Varoufakis: “Is this for real?”
Lasting Criticism
Within the memoir, Tsipras asserts that his former ally demonstrated himself “unsuitable for a deal that required complex and sensitive handling.”
Tsipras also claimed that Varoufakis's aggressive approach left him more and more alone with colleagues, endangered the country, and assisted hardliners that were pushing for a Greek exit from the euro.
This retelling of history has been met with fury and stunned disbelief in some quarters, while Varoufakis has kept a deafening silence regarding these claims.
