In a freshly published personal account, called Ithaki, the former prime minister Tsipras does not hold back while he reflects on that turbulent era of Greece's economic turmoil.
An Unconventional Choice
In Tsipras's version, Tsipras chose the unorthodox economist Yanis Varoufakis to be his finance minister mainly due to the latter's worldwide fame and his “extremely attractive” abilities as a public orator.
“He was, in reality, more of a personality rather than an economist,” wrote Tsipras.
Clashing Priorities
Tsipras alleges that Varoufakis possessed his own agenda that included advancing Varoufakis's books and experimenting with his economic models on Greece rather than truly fighting for the country's economic stability.
Tsipras explained that the discussions to avoid insolvency became “not only a way to secure improved terms for the country. They were a test, a monumental chance to prove the validity of Varoufakis's theories.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself dangerously close to exiting the eurozone.
On the line lay both the country's future but also the harsh austerity measures required in exchange for financial aid by foreign lenders.
Failed Alternatives
Efforts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek bonds, were rejected.
Helping Greece would be tantamount to throwing money into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, the excoriating bailout terms were put to a public vote, an action that plunged the EU into further existential crisis.
Although the referendum was carried resoundingly by voters who opposed the cuts, Tsipras was forced but to reject its outcome then negotiate a bailout package with foreign lenders that turned out to be more severe.
Final Straw
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the figure who drew media attention, who graced the covers of magazines globally … it seemed he relished the spotlight.”
When Varoufakis outlined a backup strategy involving creating a parallel currency as well as issuing vouchers to retirees, Tsipras said he realised it was the end questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, Tsipras asserts how Varoufakis had proved himself “unfit for a deal demanding complex and sensitive management.”
He also claimed that Varoufakis's confrontational approach left him increasingly isolated with colleagues, put Greece at risk, while helped hawks who were advocating a Greek exit from the euro.
The account of history has provoked anger along with stunned disbelief among certain groups, whereas the former minister has so far kept a conspicuous quiet regarding these claims.
