In a freshly published memoir, called Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits the turbulent era of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, he appointed that unorthodox economist Yanis Varoufakis to be the treasury head primarily due to his worldwide fame along with Varoufakis's highly compelling abilities as a public orator.
“He was, actually, more of a star rather than an economic expert,” recalled Tsipras.
Clashing Agendas
The former leader alleges how Varoufakis possessed a personal motives that involved advancing his publications and experimenting with his economic models on the nation instead of truly fighting for its financial survival.
Tsipras noted that the talks to prevent bankruptcy became “not just a way to secure improved terms for the country. They became an experiment, an historic chance to prove the validity of his theories.”
High-Stakes Negotiations
Amid tense discussions, Greece found itself dangerously on the brink of exiting the single currency area.
At stake was not only the country's destiny but also those punishing cutbacks demanded in return for rescue loans from foreign lenders.
Unsuccessful Alternatives
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting Greece was equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras during their meeting.
Public Vote and U-Turn
In July 2015, those excoriating bailout terms were subjected to a popular referendum, an action that plunged Europe into a deeper crisis of identity.
Even though the vote was carried decisively by those against austerity, Tsipras was forced but to reject its outcome then agree to a bailout package from creditors that 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 attracted media attention, who appeared on the covers of publications the world over … it seemed he was enjoying his new role.”
When Varoufakis outlined a backup strategy that included establishing a parallel currency and issuing vouchers to retirees, the leader knew it was the end and asked Varoufakis: “Can you be serious?”
Lasting Criticism
Within the book, the author concludes that his former ally demonstrated himself to be “unfit for a deal that required complex and delicate handling.”
He also wrote how Varoufakis's confrontational style made him more and more alone with colleagues, put Greece at risk, and helped hawks who were advocating a Greek exit from the euro.
The retelling of history has been met with anger along with stunned disbelief in some quarters, whereas Varoufakis has so far maintained a deafening silence regarding these claims.
