In a recently unveiled autobiography, named Ithaki, the ex- prime minister Tsipras does not hold back as he reflects on that turbulent period during Greece's financial crisis.
A Controversial Choice
In the ex-PM's account, he selected the unorthodox academic Yanis Varoufakis to be the treasury head mainly due to the latter's global profile along with Varoufakis's “extremely attractive” abilities as a public orator.
“In reality, he was, actually, more like a celebrity and less of an economic expert,” stated Tsipras.
Conflicting Priorities
The former leader suggests how Varoufakis possessed his own motives that included advancing his books as well as testing out his own economic models using the nation instead of genuinely advocating its economic stability.
Tsipras wrote that the talks to stave off insolvency were “not just a way to secure a better deal for the country. They became a test, an historic chance to demonstrate the validity of his economic theories.”
Critical Talks
Amid rollercoaster discussions, the country found itself dangerously close to exiting the eurozone.
On the line was both Greece's destiny and the punishing austerity measures required in return for bailout funds by international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, were rejected.
Assisting Greece would be equivalent to tossing cash into the garbage, the Russian leader reportedly informed Tsipras in Moscow.
Public Vote Followed by U-Turn
That summer, those excoriating bailout terms were subjected to a public vote, an action that plunged Europe into a deeper existential crisis.
Even though the vote was won decisively by those who opposed austerity, the prime minister was forced but to ignore the result and agree to a bailout package with foreign lenders that turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who appeared on the covers of magazines globally … he gave the impression he was enjoying his new role.”
After the minister outlined a contingency plan involving creating a secondary currency as well as distributing vouchers to pensioners, Tsipras knew that it was the end and asked him: “Can you be serious?”
Enduring Criticism
In the book, Tsipras concludes how his former ally demonstrated himself to be “unsuitable for an agreement demanding complex and sensitive management.”
Tsipras further wrote how his aggressive approach made him more and more alone with colleagues, endangered the country, and helped hardliners that were advocating Grexit.
This account of events has been met with fury and shock among certain groups, while Varoufakis has maintained a deafening silence regarding these claims.
