In a newly released memoir, titled Ithaki, the former premier Tsipras pulls no punches as he reflects on that chaotic period during Greece's financial crisis.
A Controversial Appointment
As per Tsipras's version, Tsipras appointed the maverick economist Yanis Varoufakis to be the finance minister primarily because of his worldwide fame and Varoufakis's very persuasive skills when it came to speaker.
“In reality, he was, actually, more of a star rather than an economist,” stated the 51-year-old.
Conflicting Priorities
The former leader alleges how Varoufakis possessed a personal agenda which involved promoting his publications as well as experimenting with his economic models on the nation instead of genuinely fighting for its financial survival.
He wrote that the negotiations to prevent bankruptcy became “not just a method of achieving improved terms for the country. They were a test, a monumental chance to demonstrate the validity of Varoufakis's ideas.”
Critical Negotiations
Amid tense discussions, Greece came perilously close to exiting the eurozone.
At stake was both the country's destiny and those punishing austerity policies demanded in return for rescue loans by international creditors.
Unsuccessful Alternatives
Efforts to secure financing elsewhere, including an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Helping Greece was equivalent to throwing money in the trash-can, Putin is reputed to have informed his Greek counterpart during their meeting.
Public Vote and U-Turn
In July 2015, the punitive bailout terms were subjected to a public vote, an action that plunged Europe into deeper existential crisis.
Even though the referendum was carried resoundingly by those who opposed the cuts, Tsipras had little option to reject its outcome and negotiate a rescue deal from creditors that turned out to be more severe.
Breaking Point
The ex-PM revealed how he began to doubt his finance minister relatively soon.
“He was the face of the talks, the man who attracted publicity, who appeared on the front pages of publications the world over … he gave the impression he was enjoying his new role.”
When Varoufakis proposed a backup strategy that included creating a secondary currency and distributing coupons to pensioners, Tsipras knew it was game over and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, the author asserts that Varoufakis demonstrated himself to be “unsuitable for an agreement demanding intricate and sensitive handling.”
He further wrote that Varoufakis's confrontational style left him more and more alone with colleagues, endangered the country, while assisted hardliners who were advocating Grexit.
The retelling of history has been met with fury along with shock in some quarters, whereas the former minister has kept a deafening silence regarding these claims.
