In a freshly published autobiography, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he reflects on the turbulent period during Greece's debt drama.
A Controversial Choice
According to the ex-PM's account, he appointed the unorthodox academic Yanis Varoufakis to be the treasury head mainly due to his global profile along with Varoufakis's very persuasive abilities when it came to public orator.
“He was, truthfully, more like a personality rather than an economic expert,” recalled the 51-year-old.
Conflicting Priorities
The former leader suggests that his finance chief possessed a personal agenda that involved advancing Varoufakis's books and experimenting with his economic models on the nation rather than truly advocating the country's economic stability.
Tsipras wrote how those discussions to stave off insolvency became “not just a method of achieving a better deal for Greece. They were an experiment, an historic chance to prove the validity of his ideas.”
High-Stakes Negotiations
During rollercoaster negotiations, the country came dangerously on the brink of exiting the single currency area.
At stake was not only the country's destiny and the severe austerity measures demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to secure financing from other sources, such as a desperate plea to Russia to purchase Greek government bonds, were rejected.
Assisting the indebted country was tantamount to tossing cash in the trash-can, Putin reportedly told his Greek counterpart during their meeting.
Referendum and U-Turn
In July 2015, those excoriating bailout terms were put to a popular referendum, a move that threw the EU into a further crisis of identity.
Even though the vote was won resoundingly by voters who opposed austerity, Tsipras was forced but to reject its outcome and agree to a rescue deal with creditors that turned out to be more severe.
Breaking Point
Tsipras revealed that he began to doubt Varoufakis quite early on.
“He was the public image of negotiation, the figure who drew publicity, who graced the covers of publications the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy that included establishing a secondary currency as well as distributing coupons to retirees, the leader said he realised it was game over and asked him: “Are you serious?”
Lasting Criticism
In the book, Tsipras concludes that his former ally demonstrated himself to be “unfit for a deal demanding complex and delicate management.”
Tsipras also claimed how his aggressive approach made him more and more alone among peers, endangered the country, and helped hawks that were pushing for a Greek exit from the euro.
This account of history has been met with fury and stunned disbelief among certain groups, whereas Varoufakis has kept a deafening silence on the matter.
