In a newly released autobiography, titled Ithaki, the former premier Alexis Tsipras pulls no punches while he reflects on that chaotic era of Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's version, he selected the unorthodox academic Yanis Varoufakis to be the finance minister mainly due to his international reputation along with Varoufakis's “extremely attractive” abilities when it came to communicator.
“In reality, he was, truthfully, more like a celebrity rather than an economist,” recalled Tsipras.
Conflicting Agendas
The former leader alleges that Varoufakis had a personal motives that included advancing his books as well as experimenting with his own theories using Greece rather than truly advocating the country's financial survival.
He explained that those discussions to avoid insolvency were “not just a method of achieving a better deal for the country. They became a test, a monumental chance to prove the validity of Varoufakis's economic theories.”
Critical Talks
Amid rollercoaster negotiations, Greece found itself perilously on the brink of leaving the single currency area.
At stake was both Greece's destiny but also those punishing austerity policies demanded in exchange for bailout funds by international creditors.
Unsuccessful Alternatives
Attempts to secure financing elsewhere, such as a desperate plea to Russia to purchase Greek government bonds, went unanswered.
Helping Greece would be tantamount to tossing cash in the trash-can, Putin reportedly informed his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, the excoriating bailout terms were put to a popular referendum, an action which plunged Europe into further existential crisis.
Although the vote was won resoundingly by those who opposed the cuts, the prime minister had little option to reject its outcome then negotiate a bailout package with creditors which proved to be even harsher.
Breaking Point
Tsipras claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the man who drew media attention, who appeared on the front pages of magazines the world over … it seemed he was enjoying his new role.”
After the minister outlined a contingency plan that included creating a secondary currency and distributing vouchers to retirees, Tsipras knew it was the end and asked him: “Are you serious?”
Lasting Rebuke
In the memoir, the author concludes that his former ally had proved himself to be “unfit for an agreement that required complex and sensitive handling.”
Tsipras also wrote how Varoufakis's confrontational approach left him increasingly isolated among peers, put Greece at risk, and helped hawks that were advocating Grexit.
The retelling of history has provoked anger along with shock among certain groups, whereas the former minister has kept a deafening silence on the matter.
