In a freshly published personal account, named Ithaki, the former prime minister Alexis Tsipras pulls no punches as he examines that turbulent era during Greece's debt drama.
An Unconventional Choice
According to Tsipras's account, he selected the maverick economist Yanis Varoufakis to be the treasury head primarily because of the latter's worldwide fame along with Varoufakis's “extremely attractive” abilities as a communicator.
“He was, in reality, more like a personality and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
The former leader suggests how Varoufakis possessed a personal motives that involved promoting Varoufakis's books and testing out his theories using the nation instead of genuinely advocating its financial survival.
Tsipras wrote that the talks to prevent bankruptcy became “not just a way to secure a better deal for the country. They were a test, a monumental chance to demonstrate the truth of his economic theories.”
Critical Talks
Amid volatile discussions, Greece found itself dangerously close to leaving the single currency area.
At stake was both the country's destiny and those punishing austerity measures required in return for financial aid by international creditors.
Failed Alternatives
Attempts to find funds from other sources, including an urgent plea to the Kremlin to purchase Greek bonds, went unanswered.
Assisting Greece was equivalent to throwing money in the trash-can, Putin reportedly told Tsipras during their meeting.
Referendum Followed by Reversal
In July 2015, the excoriating bailout terms were subjected to a public vote, an action that plunged Europe into deeper existential crisis.
Even though the vote was carried resoundingly by voters against the cuts, Tsipras was forced to ignore the result and negotiate a bailout package with foreign lenders that proved to be even harsher.
Final Straw
Tsipras claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew media attention, who graced the covers of publications the world over … it seemed he was enjoying his new role.”
After the minister proposed a contingency plan involving creating a secondary currency and issuing vouchers to retirees, the leader said he realised it was game over and asked him: “Is this for real?”
Enduring Criticism
Within the book, Tsipras concludes that his former ally demonstrated himself to be “unfit for an agreement demanding intricate and sensitive management.”
Tsipras also wrote that his aggressive approach made him increasingly isolated with colleagues, endangered the country, while helped hardliners that were advocating Grexit.
This account of events has provoked fury along with stunned disbelief in some quarters, whereas Varoufakis has kept a conspicuous quiet on the matter.
