Within his newly released autobiography, called Ithaki, the ex- premier Alexis Tsipras does not hold back while he examines that chaotic period during Greece's debt drama.
An Unconventional Choice
As per the ex-PM's account, he selected that maverick economist Yanis Varoufakis to be the treasury head mainly because of his global profile and his “extremely attractive” skills when it came to communicator.
“In reality, he was, truthfully, more like a star and less of an economic expert,” recalled the 51-year-old.
Clashing Agendas
The former leader claims that Varoufakis possessed a personal agenda which involved advancing Varoufakis's publications as well as testing out his economic models on Greece rather than genuinely advocating the country's economic stability.
Tsipras explained how the talks to prevent insolvency became “not only a way of achieving improved terms for Greece. They were an experiment, an historic chance to prove the truth of his theories.”
Critical Negotiations
Amid tense discussions, the country came perilously close to leaving the single currency area.
At stake was both Greece's destiny but also the severe austerity policies demanded in return for rescue loans from international creditors.
Failed Options
Efforts to secure financing elsewhere, such as an urgent appeal to the Kremlin to buy Greek bonds, went unanswered.
Assisting the indebted country was tantamount to tossing cash into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were subjected to a popular referendum, an action which threw Europe into a further existential crisis.
Although the referendum was won decisively by those against the cuts, Tsipras had little option to reject its outcome and agree to a rescue deal from foreign lenders which turned out to be more severe.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“He was the face of the talks, the man who drew publicity, who appeared on the front pages of publications the world over … he gave the impression he was enjoying his new role.”
When the minister proposed a contingency plan that included establishing a secondary currency and distributing coupons to pensioners, the leader knew that it was the end questioning him: “Can you be serious?”
Enduring Criticism
Within the book, Tsipras concludes how his former ally had proved himself to be “unfit for an agreement that required complex and delicate management.”
He further wrote that Varoufakis's aggressive approach left him more and more alone with colleagues, endangered the country, and helped hawks that were advocating Grexit.
The account of events has been met with fury and shock in some quarters, while the former minister has so far kept a conspicuous quiet regarding these claims.
