In a recently unveiled memoir, called Ithaki, the ex- prime minister Tsipras spares no criticism while he examines the turbulent era during Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's version, Tsipras chose that unorthodox academic Yanis Varoufakis as his finance minister largely due to the latter's worldwide fame along with his highly compelling abilities as a speaker.
“In reality, he was, in reality, more like a personality rather than an economist,” wrote Tsipras.
Clashing Priorities
The former leader alleges that Varoufakis had a personal agenda that involved advancing his books and experimenting with his economic models on Greece instead of genuinely advocating its financial survival.
Tsipras noted that those discussions to stave off insolvency became “not only a method to secure improved terms for the country. They were an experiment, a monumental chance to demonstrate the truth of Varoufakis's theories.”
High-Stakes Talks
During tense discussions, the country came dangerously on the brink of exiting the single currency area.
On the line was both the country's destiny but also those severe austerity measures demanded in exchange for rescue loans by foreign lenders.
Failed Alternatives
Efforts to secure funds from other sources, including an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, the punitive bailout terms were subjected to a public vote, a move that plunged the EU into a further existential crisis.
Although the vote was won resoundingly by those who opposed austerity, Tsipras had little option but to reject its outcome and negotiate a bailout package with foreign lenders that turned out to be even harsher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who appeared on the front pages of magazines the world over … he gave the impression he relished the spotlight.”
When Varoufakis proposed a backup strategy involving establishing a parallel currency and distributing vouchers to pensioners, the leader knew it was game over questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, the author asserts how Varoufakis had proved himself “unsuitable for a deal demanding complex and sensitive management.”
Tsipras further wrote how his aggressive approach left him more and more alone among peers, endangered the country, while assisted hawks who were pushing for Grexit.
This account of events has provoked anger and shock among certain groups, while Varoufakis has so far kept a deafening silence on the matter.
