In a newly released memoir, named Ithaki, the former premier Alexis Tsipras pulls no punches while he reflects on the chaotic era of Greece's financial crisis.
An Unconventional Appointment
In Tsipras's version, Tsipras selected the unorthodox academic Yanis Varoufakis as the treasury head largely because of the latter's international reputation along with his very persuasive abilities when it came to public orator.
“He was, truthfully, more like a celebrity rather than an economic expert,” stated Tsipras.
Conflicting Agendas
Tsipras suggests how Varoufakis possessed his own motives which included advancing Varoufakis's publications and testing out his own theories using Greece rather than genuinely advocating its financial survival.
Tsipras noted how those negotiations to prevent bankruptcy became “not only a way to secure improved terms for Greece. They became an experiment, a monumental opportunity to prove the truth of Varoufakis's ideas.”
Critical Negotiations
Amid volatile negotiations, the country found itself dangerously on the brink of leaving the eurozone.
At stake lay both the country's destiny and the punishing austerity measures required in exchange for rescue loans from international creditors.
Unsuccessful Alternatives
Efforts to find funds from other sources, including an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country was tantamount to tossing cash into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Referendum and U-Turn
That summer, those excoriating bailout terms were subjected to a popular referendum, an action which plunged Europe into deeper existential crisis.
Although the vote was won decisively by those who opposed austerity, Tsipras was forced to reject its outcome and negotiate a bailout package with foreign lenders that turned out to be more severe.
Final Straw
Tsipras revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who drew publicity, who appeared on the front pages of publications globally … it seemed he relished his new role.”
When the minister outlined a backup strategy involving creating a parallel currency as well as distributing vouchers to retirees, the leader said he realised that it was game over and asked him: “Can you be serious?”
Enduring Rebuke
In the memoir, Tsipras concludes that his former ally had proved himself to be “unfit for a deal that required intricate and sensitive handling.”
He also wrote that Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
The retelling of history has been met with anger and shock among certain groups, while the former minister has so far kept a deafening silence on the matter.
