In a freshly published memoir, titled Ithaki, the ex- prime minister Tsipras does not hold back while he reflects on the chaotic period during Greece's debt drama.
A Controversial Appointment
In the ex-PM's version, he selected the unorthodox economist Yanis Varoufakis as his treasury head largely because of the latter's international reputation along with his highly compelling abilities when it came to speaker.
“He was, actually, more of a celebrity rather than an economic expert,” stated Tsipras.
Conflicting Agendas
Tsipras suggests how his finance chief had his own motives which included promoting his books and experimenting with his economic models on the nation rather than truly fighting for its economic stability.
He explained that the negotiations to stave off insolvency were “not only a way of achieving improved terms for the country. They became a test, an historic chance to demonstrate the validity of his ideas.”
Critical Negotiations
Amid rollercoaster negotiations, the country found itself perilously on the brink of leaving the single currency area.
At stake was both Greece's future but also the punishing austerity policies demanded in return for rescue loans by international creditors.
Unsuccessful Options
Efforts to find financing elsewhere, including an urgent plea to the Kremlin to buy Greek bonds, went unanswered.
Assisting the indebted country was tantamount to throwing money into the garbage, the Russian leader reportedly told his Greek counterpart in Moscow.
Referendum and U-Turn
That summer, those harsh conditions were put to a popular referendum, a move that plunged Europe into deeper existential crisis.
Even though the vote was won decisively by voters who opposed austerity, the prime minister had little option but to reject its outcome then negotiate a rescue deal from foreign lenders that turned out to be more severe.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“He was the face of the talks, the man who drew publicity, who graced the front pages of magazines the world over … he gave the impression he was enjoying his new role.”
When Varoufakis proposed a backup strategy that included creating a parallel currency as well as issuing coupons to retirees, Tsipras said he realised that it was game over questioning Varoufakis: “Are you serious?”
Lasting Criticism
Within the memoir, the author concludes how Varoufakis had proved himself to be “unsuitable for an agreement demanding complex and delicate management.”
He also claimed how his confrontational style made him increasingly isolated among peers, put Greece at risk, while helped hardliners that were pushing for a Greek exit from the euro.
The account of history has been met with fury along with shock in some quarters, whereas the former minister has so far maintained a deafening silence on the matter.
