Within his newly released autobiography, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he reflects on that chaotic period during Greece's economic turmoil.
An Unconventional Choice
As per the ex-PM's recollections, Tsipras appointed the unorthodox economist Yanis Varoufakis as his finance minister primarily because of the latter's international reputation and Varoufakis's very persuasive skills as a communicator.
“In reality, he was, in reality, more like a personality rather than an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras claims how his finance chief possessed his own agenda that included promoting his publications and experimenting with his economic models on Greece instead of truly advocating the country's economic stability.
He wrote how those negotiations to prevent bankruptcy were “not just a way to secure improved terms for Greece. They became an experiment, an historic chance to prove the truth of his economic theories.”
High-Stakes Talks
During tense negotiations, Greece came perilously on the brink of exiting the eurozone.
On the line lay not only the country's destiny but also the harsh austerity measures required in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to secure funds elsewhere, including an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Helping the indebted country was tantamount to tossing cash in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Public Vote and Reversal
That summer, those excoriating bailout terms were subjected to a public vote, an action which threw the EU into a deeper existential crisis.
Although the vote was carried resoundingly by voters who opposed the cuts, the prime minister was forced but to reject its outcome then agree to a rescue deal from foreign lenders which turned out to be tougher.
Breaking Point
Tsipras revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who attracted publicity, who appeared on the front pages of publications globally … he gave the impression he was enjoying the spotlight.”
After the minister outlined a contingency plan involving creating a parallel currency and issuing coupons to pensioners, the leader said he realised it was game over and asked Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, the author concludes how his former ally had proved himself “unfit for an agreement demanding complex and delicate management.”
He also wrote how his aggressive approach left him increasingly isolated with colleagues, endangered the country, and assisted hawks that were pushing for a Greek exit from the euro.
The account of events has been met with fury and stunned disbelief among certain groups, while the former minister has maintained a deafening silence on the matter.
