In a newly released autobiography, called Ithaki, the former prime minister Alexis Tsipras does not hold back as he examines that chaotic period during Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's recollections, he chose that maverick economist Yanis Varoufakis as the treasury head largely because of the latter's international reputation along with Varoufakis's very persuasive abilities as a communicator.
“In reality, he was, truthfully, more like a star rather than an economist,” stated the 51-year-old.
Clashing Agendas
The former leader alleges that his finance chief possessed his own agenda that included promoting Varoufakis's publications and testing out his own theories on the nation rather than genuinely fighting for its financial survival.
He noted that the talks to prevent insolvency were “not just a method to secure a better deal for the country. They were a test, an historic chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During volatile negotiations, the country found itself perilously on the brink of leaving the single currency area.
At stake lay not only Greece's future but also those harsh austerity policies demanded in return for bailout funds by foreign lenders.
Failed Options
Attempts to find funds elsewhere, including a desperate appeal to Russia to purchase Greek bonds, were rejected.
Assisting the indebted country would be tantamount to throwing money into the garbage, the Russian leader reportedly told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, those punitive conditions were put to a popular referendum, an action which plunged Europe into a further crisis of identity.
Even though the referendum was carried resoundingly by those who opposed the cuts, Tsipras was forced but to ignore the result and agree to a rescue deal from creditors that proved to be tougher.
Final Straw
The ex-PM revealed how he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the man who drew publicity, who graced the covers of publications the world over … it seemed he was enjoying the spotlight.”
After Varoufakis outlined a backup strategy that included creating a parallel currency as well as issuing coupons to pensioners, Tsipras said he realised that it was game over questioning him: “Is this for real?”
Enduring Rebuke
In the book, the author concludes that his former ally demonstrated himself to be “unfit for a deal demanding intricate and delicate management.”
He also wrote how his aggressive approach made him increasingly isolated with colleagues, endangered the country, and helped hardliners that were advocating a Greek exit from the euro.
This account of events has provoked fury and stunned disbelief in some quarters, while Varoufakis has so far kept a conspicuous quiet regarding these claims.
