Within his newly released memoir, named Ithaki, the former leader Alexis Tsipras spares no criticism as he examines the turbulent period of Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's version, Tsipras appointed the maverick academic Yanis Varoufakis as his finance minister mainly due to his worldwide fame and his “extremely attractive” abilities when it came to public orator.
“In reality, he was, truthfully, more of a personality rather than an economic expert,” recalled the 51-year-old.
Clashing Priorities
The former leader suggests how his finance chief had a personal motives which involved promoting his publications and experimenting with his own theories on Greece instead of genuinely fighting for its financial survival.
He noted how those discussions to avoid bankruptcy became “not only a method of achieving improved terms for the country. They were an experiment, an historic opportunity to prove the validity of his economic theories.”
Critical Negotiations
During tense negotiations, Greece came perilously on the brink of leaving the single currency area.
At stake lay both Greece's future and those harsh austerity policies required in exchange for financial aid by international creditors.
Failed Alternatives
Efforts to secure financing from other sources, including a desperate appeal to the Kremlin to buy Greek bonds, went unanswered.
Assisting the indebted country would be equivalent to tossing cash into the garbage, Putin reportedly informed his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, those harsh conditions were put to a public vote, a move which threw the EU into further existential crisis.
Even though the vote was carried decisively by voters who opposed austerity, the prime minister was forced to ignore the result then agree to a bailout package from foreign lenders which turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who attracted publicity, who appeared on the front pages of magazines the world over … it seemed he relished his new role.”
When the minister proposed a backup strategy that included establishing a parallel currency and issuing coupons to pensioners, the leader said he realised that it was the end and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
In the memoir, Tsipras concludes that Varoufakis demonstrated himself “unsuitable for a deal that required complex and sensitive management.”
He also claimed how his aggressive style left him increasingly isolated among peers, endangered the country, while helped hawks who were advocating a Greek exit from the euro.
This retelling 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.
