Within his freshly published memoir, titled Ithaki, the former leader Tsipras spares no criticism while he examines that chaotic era of Greece's financial crisis.
An Unconventional Choice
In Tsipras's account, Tsipras appointed that unorthodox academic Yanis Varoufakis to be his treasury head mainly because of the latter's international reputation and his “extremely attractive” skills as a communicator.
“He was, actually, more of a personality and less of an economist,” wrote Tsipras.
Clashing Agendas
Tsipras alleges that Varoufakis had a personal motives which included promoting Varoufakis's publications as well as testing out his theories using the nation rather than truly fighting for its financial survival.
He noted that the negotiations to avoid bankruptcy were “not just a way of achieving improved terms for Greece. They were a test, an historic chance to prove the truth of Varoufakis's economic theories.”
High-Stakes Talks
Amid rollercoaster negotiations, Greece found itself dangerously on the brink of leaving the single currency area.
On the line was both Greece's destiny and those punishing austerity policies required in exchange for bailout funds from international creditors.
Unsuccessful Options
Efforts to secure financing from other sources, such as an urgent appeal to Russia to purchase Greek bonds, were rejected.
Helping the indebted country would be equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those harsh conditions were put to a public vote, a move that plunged the EU into a further existential crisis.
Although the vote was carried decisively by those against the cuts, Tsipras had little option but to reject its outcome then agree to a bailout package with creditors which turned out to be tougher.
Breaking Point
The ex-PM revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who attracted publicity, who appeared on the front pages of publications the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy that included creating a secondary currency as well as distributing vouchers to retirees, Tsipras said he realised that it was game over questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
In the book, the author asserts how Varoufakis had proved himself “unsuitable for a deal demanding intricate and delicate management.”
He further wrote that his confrontational approach made him more and more alone with colleagues, endangered the country, and assisted hawks that were advocating Grexit.
The account of history has been met with anger and shock among certain groups, while the former minister has so far maintained a conspicuous quiet on the matter.
