Within his newly released memoir, named Ithaki, the ex- leader Alexis Tsipras does not hold back while he reflects on that chaotic period of Greece's financial crisis.
A Controversial Choice
As per the ex-PM's recollections, he selected that unorthodox economist Yanis Varoufakis to be the finance minister largely due to the latter's worldwide fame and his “extremely attractive” abilities when it came to communicator.
“In reality, he was, truthfully, more of a celebrity rather than an economist,” stated the 51-year-old.
Conflicting Priorities
Tsipras claims that Varoufakis possessed a personal agenda which included promoting Varoufakis's publications and experimenting with his theories using Greece rather than genuinely advocating the country's financial survival.
He wrote how the negotiations to avoid insolvency became “not just a way of achieving a better deal for the country. They became a test, a monumental opportunity to prove the validity of Varoufakis's economic theories.”
Critical Negotiations
During tense negotiations, the country found itself dangerously on the brink of exiting the single currency area.
On the line lay not only Greece's future and those punishing austerity policies required in exchange for rescue loans by foreign lenders.
Unsuccessful Options
Attempts to find funds elsewhere, such as an urgent appeal to the Kremlin to buy Greek bonds, were rejected.
Assisting Greece was tantamount to throwing money into the garbage, the Russian leader reportedly told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, the excoriating bailout terms were put to a popular referendum, a move which plunged the EU into further existential crisis.
Even though the referendum was won resoundingly by those who opposed the cuts, Tsipras was forced but to reject its outcome and negotiate a bailout package with creditors that turned out to be even harsher.
Breaking Point
Tsipras revealed how he started questioning his finance minister relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who graced the front pages of magazines the world over … he gave the impression he was enjoying the spotlight.”
After Varoufakis proposed a contingency plan that included establishing a secondary currency and distributing coupons to retirees, Tsipras knew it was game over and asked him: “Are you serious?”
Lasting Criticism
Within the memoir, Tsipras concludes that Varoufakis had proved himself “unfit for a deal that required complex and delicate handling.”
He also claimed how his confrontational style made him increasingly isolated with colleagues, put Greece at risk, and helped hardliners that were advocating a Greek exit from the euro.
The retelling of events has been met with anger along with stunned disbelief in some quarters, while Varoufakis has so far kept a deafening silence regarding these claims.
