In a freshly published personal account, called Ithaki, the ex- leader Alexis Tsipras spares no criticism while he revisits the turbulent period during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's version, Tsipras appointed that unorthodox economist Yanis Varoufakis as the treasury head primarily because of the latter's global profile and Varoufakis's very persuasive abilities as a public orator.
“In reality, he was, truthfully, more like a personality and less of an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras suggests that his finance chief possessed his own agenda that included advancing his books and experimenting with his own theories using Greece instead of truly advocating its financial survival.
He explained that those negotiations to prevent insolvency were “not just a way of achieving a better deal for the country. They became an experiment, an historic opportunity to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During tense discussions, Greece found itself perilously on the brink of leaving the eurozone.
At stake lay not only the country's destiny and those punishing cutbacks required in exchange for bailout funds from foreign lenders.
Failed Options
Attempts to secure financing from other sources, including a desperate appeal to Russia to purchase Greek government bonds, were rejected.
Helping the indebted country was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum Followed by Reversal
In July 2015, those harsh bailout terms were subjected to a public vote, a move which plunged Europe into a further existential crisis.
Even though the referendum was carried decisively by those who opposed austerity, Tsipras was forced to ignore the result then agree to a bailout package with creditors which turned out to be tougher.
Final Straw
Tsipras claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who appeared on the covers of magazines the world over … it seemed he relished the spotlight.”
When the minister proposed a backup strategy involving creating a secondary currency as well as distributing vouchers to retirees, Tsipras said he realised it was game over questioning Varoufakis: “Is this for real?”
Enduring Criticism
In the book, the author asserts that his former ally demonstrated himself to be “unsuitable for an agreement that required intricate and sensitive handling.”
He further wrote how Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, while helped hardliners that were advocating Grexit.
The retelling of history has provoked anger along with shock in some quarters, whereas the former minister has so far maintained a conspicuous quiet on the matter.
