In a newly released personal account, named Ithaki, the ex- leader Tsipras pulls no punches as he revisits that chaotic period of Greece's economic turmoil.
A Controversial Appointment
According to Tsipras's version, Tsipras appointed the maverick academic Yanis Varoufakis to be the treasury head largely because of his international reputation along with his highly compelling abilities as a public orator.
“He was, actually, more like a celebrity and less of an economic expert,” wrote the 51-year-old.
Clashing Agendas
The former leader suggests that his finance chief had a personal motives which included promoting his books and experimenting with his theories on Greece instead of genuinely advocating its financial survival.
Tsipras explained how those talks to avoid insolvency were “not just a method to secure a better deal for Greece. They became a test, a monumental chance to prove the validity of Varoufakis's ideas.”
Critical Talks
During rollercoaster discussions, Greece came dangerously close to leaving the eurozone.
On the line lay both the country's destiny but also the severe cutbacks required in return for rescue loans from foreign lenders.
Failed Options
Attempts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Assisting the indebted country was equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the harsh bailout terms were put to a popular referendum, a move which threw Europe into a further existential crisis.
Even though the vote was won resoundingly by those against austerity, Tsipras was forced to ignore the result then agree to a rescue deal from foreign lenders that proved to be even harsher.
Final Straw
Tsipras claimed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who drew media attention, who graced the covers of publications globally … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy involving establishing a parallel currency and distributing coupons to pensioners, the leader knew it was game over questioning Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, the author asserts that his former ally had proved himself to be “unfit for a deal demanding complex and sensitive management.”
He further claimed that his aggressive style left him more and more alone among peers, put Greece at risk, and helped hardliners who were advocating Grexit.
The account of history has provoked anger and stunned disbelief in some quarters, while the former minister has so far kept a deafening silence on the matter.
