In a newly released memoir, called Ithaki, the former premier Alexis Tsipras spares no criticism while he reflects on the turbulent era during Greece's economic turmoil.
An Unconventional Appointment
In Tsipras's version, Tsipras chose that maverick academic Yanis Varoufakis as his treasury head primarily because of his international reputation and his very persuasive abilities when it came to communicator.
“In reality, he was, truthfully, more of a personality and less of an economist,” recalled the 51-year-old.
Clashing Agendas
The former leader suggests how his finance chief possessed his own agenda that involved advancing Varoufakis's publications as well as testing out his own game theories on Greece instead of truly advocating its economic stability.
He explained that the negotiations to stave off insolvency were “not only a way to secure improved terms for the country. They became an experiment, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
Critical Negotiations
Amid volatile discussions, Greece came dangerously close to exiting the single currency area.
At stake lay both the country's destiny but also those severe austerity measures required in exchange for financial aid by international creditors.
Failed Alternatives
Efforts to find financing elsewhere, such as an urgent appeal to the Kremlin to buy Greek government bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote and U-Turn
That summer, the punitive bailout terms were put to a public vote, a move that plunged Europe into a further crisis of identity.
Even though the referendum was carried decisively by voters who opposed the cuts, the prime minister was forced to ignore the result then negotiate a bailout package with creditors which proved to be tougher.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister quite early on.
“He was the public image of the talks, the figure who drew publicity, who graced the front pages of publications globally … he gave the impression he was enjoying the spotlight.”
When the minister proposed a contingency plan that included establishing a parallel currency as well as distributing coupons to retirees, Tsipras said he realised that it was the end and asked Varoufakis: “Can you be serious?”
Lasting Criticism
Within the book, Tsipras asserts how his former ally demonstrated himself “unsuitable for a deal demanding intricate and sensitive management.”
Tsipras further wrote that his aggressive style left him increasingly isolated among peers, endangered the country, while helped hawks who were pushing for a Greek exit from the euro.
The retelling of history has provoked fury along with stunned disbelief in some quarters, while the former minister has kept a conspicuous quiet on the matter.
