In a freshly published autobiography, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he reflects on that chaotic era of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's account, he appointed the unorthodox economist Yanis Varoufakis to be his finance minister primarily due to the latter's international reputation along with Varoufakis's “extremely attractive” abilities as a speaker.
“In reality, he was, truthfully, more like a star and less of an economist,” recalled the 51-year-old.
Clashing Priorities
Tsipras alleges that Varoufakis possessed a personal motives that involved advancing his publications and experimenting with his own game theories using Greece rather than genuinely fighting for the country's financial survival.
Tsipras wrote how the negotiations to avoid insolvency were “not only a method of achieving improved terms for the country. They became an experiment, a monumental opportunity to demonstrate the validity of Varoufakis's ideas.”
Critical Negotiations
Amid volatile negotiations, the country found itself perilously on the brink of leaving the single currency area.
On the line was not only the country's destiny but also those harsh cutbacks demanded in exchange for rescue loans by international creditors.
Unsuccessful Options
Attempts to secure financing elsewhere, including an urgent appeal to the Kremlin to purchase Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those harsh bailout terms were subjected to a popular referendum, an action that threw the EU into a deeper crisis of identity.
Although the referendum was carried resoundingly by voters against austerity, the prime minister was forced but to ignore the result and agree to a rescue deal with foreign lenders which proved to be even harsher.
Final Straw
Tsipras revealed how he started questioning his finance minister quite early on.
“He was the face of negotiation, the man who attracted publicity, who appeared on the covers of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a contingency plan that included establishing a secondary currency and issuing vouchers to pensioners, the leader said he realised that it was game over and asked him: “Is this for real?”
Lasting Rebuke
In the memoir, the author asserts how his former ally demonstrated himself “unsuitable for an agreement demanding intricate and sensitive management.”
He also wrote that his aggressive approach left him more and more alone with colleagues, endangered the country, while assisted hawks that were advocating Grexit.
The account of events has been met with anger along with shock in some quarters, while the former minister has kept a deafening silence regarding these claims.
