Within his freshly published autobiography, titled Ithaki, the ex- premier Alexis Tsipras spares no criticism while he reflects on that turbulent era during Greece's economic turmoil.
An Unconventional Appointment
According to the ex-PM's recollections, Tsipras appointed the unorthodox economist Yanis Varoufakis to be the treasury head largely due to the latter's international reputation along with Varoufakis's very persuasive abilities as a communicator.
“In reality, he was, truthfully, more of a star rather than an economic expert,” stated the 51-year-old.
Clashing Agendas
The former leader claims that Varoufakis had his own motives that involved promoting Varoufakis's books as well as experimenting with his theories using Greece instead of truly advocating its financial survival.
He explained how those negotiations to prevent bankruptcy became “not only a method of achieving improved terms for Greece. They became an experiment, an historic chance to prove the validity of Varoufakis's ideas.”
High-Stakes Negotiations
During rollercoaster discussions, the country found itself perilously close to leaving the eurozone.
On the line was both Greece's future but also those harsh austerity policies required in return for financial aid by foreign lenders.
Failed Options
Attempts to find financing elsewhere, such as an urgent plea to Russia to buy Greek government bonds, went unanswered.
Assisting Greece was equivalent to throwing money into the garbage, the Russian leader is reputed to have told Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those harsh conditions were subjected to a public vote, a move which threw the EU into further existential crisis.
Even though the referendum was carried resoundingly by voters who opposed the cuts, the prime minister was forced but to ignore the result and negotiate a rescue deal from foreign lenders that proved to be more severe.
Breaking Point
Tsipras claimed how he started questioning his finance minister relatively soon.
“Varoufakis was the public image of the talks, the figure who drew media attention, who appeared on the front pages of magazines the world over … it seemed he relished his new role.”
After Varoufakis outlined a contingency plan that included establishing a parallel currency and distributing vouchers to retirees, the leader knew it was game over questioning Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, the author asserts that Varoufakis had proved himself “unfit for a deal that required complex and sensitive handling.”
He also claimed that his aggressive approach left him more and more alone among peers, endangered the country, while assisted hardliners that were pushing for Grexit.
The retelling of history has been met with anger along with shock in some quarters, whereas the former minister has maintained a deafening silence on the matter.
