Within his newly released autobiography, named Ithaki, the former leader Tsipras pulls no punches as he examines the chaotic period of Greece's economic turmoil.
A Controversial Choice
In the ex-PM's recollections, Tsipras appointed the unorthodox academic Yanis Varoufakis to be the finance minister largely because of the latter's global profile along with Varoufakis's very persuasive skills when it came to communicator.
“He was, in reality, more of a star rather than an economic expert,” stated the 51-year-old.
Clashing Priorities
Tsipras alleges that his finance chief had his own motives which included advancing his books and testing out his own theories on Greece instead of genuinely fighting for the country's financial survival.
Tsipras explained that those talks to avoid insolvency were “not only a way of achieving improved terms for Greece. They were an experiment, a monumental opportunity to prove the validity of Varoufakis's ideas.”
High-Stakes Talks
During tense negotiations, Greece came perilously close to exiting the eurozone.
On the line was both Greece's destiny and the severe austerity policies demanded in exchange for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, such as a desperate plea to the Kremlin to buy Greek government bonds, went unanswered.
Assisting Greece would be equivalent to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, those punitive conditions were subjected to a popular referendum, a move which threw Europe into a further existential crisis.
Although the referendum was won resoundingly by voters against austerity, Tsipras was forced to ignore the result then agree to a bailout package with creditors that turned out to be more severe.
Breaking Point
Tsipras revealed that he started questioning his finance minister quite early on.
“He was the public image of negotiation, the figure who drew publicity, who graced the covers of publications globally … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a contingency plan that included creating a parallel currency and issuing vouchers to pensioners, Tsipras said he realised it was the end questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras concludes how Varoufakis had proved himself “unsuitable for a deal that required complex and delicate handling.”
He further claimed that his confrontational approach made him increasingly isolated among peers, endangered the country, and helped hawks who were pushing for Grexit.
This account of events has been met with anger along with shock among certain groups, whereas Varoufakis has kept a deafening silence on the matter.
