In a recently unveiled autobiography, called Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits that chaotic period during Greece's financial crisis.
An Unconventional Appointment
As per Tsipras's version, he selected that unorthodox academic Yanis Varoufakis to be the finance minister primarily due to the latter's global profile and his “extremely attractive” abilities as a public orator.
“In reality, he was, in reality, more like a star rather than an economic expert,” stated the 51-year-old.
Conflicting Priorities
Tsipras suggests that Varoufakis had his own agenda which included promoting Varoufakis's publications and experimenting with his own economic models using the nation rather than genuinely advocating its economic stability.
Tsipras noted that those negotiations to prevent insolvency were “not only a way of achieving improved terms for the country. They became an experiment, a monumental opportunity to demonstrate the truth of his economic theories.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came dangerously on the brink of exiting the single currency area.
On the line lay not only the country's destiny but also the severe austerity measures demanded in exchange for financial aid from foreign lenders.
Failed Alternatives
Attempts to find funds from other sources, including a desperate appeal to the Kremlin to buy Greek government bonds, went unanswered.
Assisting Greece would be equivalent to tossing cash into the garbage, Putin is reputed to have told Tsipras during their meeting.
Public Vote and U-Turn
That summer, the excoriating conditions were put to a public vote, a move that plunged Europe into a further existential crisis.
Even though the referendum was won resoundingly by those against the cuts, Tsipras was forced to ignore the result and negotiate a bailout package from foreign lenders which turned out to be more severe.
Breaking Point
The ex-PM claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who graced the covers of magazines the world over … he gave the impression he relished his new role.”
When Varoufakis outlined a backup strategy that included establishing a parallel currency as well as issuing coupons to retirees, the leader said he realised it was the end and asked Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, the author concludes that Varoufakis demonstrated himself “unsuitable for a deal demanding complex and sensitive handling.”
He further wrote that his aggressive style made him more and more alone among peers, endangered the country, and assisted hawks that were pushing for a Greek exit from the euro.
This retelling of history has provoked anger along with stunned disbelief in some quarters, while the former minister has maintained a deafening silence regarding these claims.
