In a freshly published memoir, titled Ithaki, the former leader Tsipras does not hold back while he reflects on that chaotic era during Greece's financial crisis.
A Controversial Appointment
As per the ex-PM's version, Tsipras chose the maverick economist Yanis Varoufakis as his treasury head primarily because of his international reputation and Varoufakis's very persuasive skills when it came to speaker.
“He was, truthfully, more like a star and less of an economist,” recalled Tsipras.
Conflicting Priorities
Tsipras alleges how his finance chief possessed a personal agenda which involved promoting his publications as well as experimenting with his own economic models using the nation instead of truly fighting for the country's economic stability.
He noted how those talks to stave off insolvency became “not only a method to secure improved terms for Greece. They became a test, an historic chance to prove the truth of Varoufakis's theories.”
High-Stakes Talks
Amid tense negotiations, the country came perilously close to exiting the single currency area.
At stake was not only the country's future and those harsh austerity measures required in return for bailout funds by foreign lenders.
Failed Options
Efforts to secure funds from other sources, such as an urgent plea to Russia to buy Greek bonds, fell on stony ground.
Helping Greece was equivalent to tossing cash in the trash-can, Putin reportedly told Tsipras during their meeting.
Public Vote Followed by U-Turn
In July 2015, the harsh bailout terms were put to a popular referendum, an action which plunged the EU into a deeper crisis of identity.
Although the vote was carried resoundingly by those against the cuts, the prime minister was forced to reject its outcome then agree to a rescue deal with foreign lenders which proved to be tougher.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who attracted publicity, who appeared on the front pages of publications the world over … it seemed he was enjoying his new role.”
After the minister proposed a backup strategy involving establishing a secondary currency and distributing vouchers to pensioners, Tsipras knew that it was the end and asked Varoufakis: “Is this for real?”
Lasting Criticism
In the memoir, Tsipras concludes that his former ally demonstrated himself to be “unfit for a deal demanding intricate and sensitive handling.”
Tsipras further claimed how his confrontational approach left him more and more alone with colleagues, endangered the country, and assisted hawks who were pushing for a Greek exit from the euro.
This retelling of history has been met with fury along with stunned disbelief among certain groups, while Varoufakis has maintained a conspicuous quiet regarding these claims.
