In a freshly published memoir, titled Ithaki, the ex- prime minister Tsipras spares no criticism while he revisits the turbulent era during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's version, he appointed the unorthodox economist Yanis Varoufakis to be his treasury head largely because of his global profile along with his very persuasive abilities as a communicator.
“He was, actually, more of a star rather than an economist,” recalled Tsipras.
Clashing Priorities
The former leader suggests how his finance chief had a personal motives which involved promoting his books as well as testing out his own theories on the nation instead of truly advocating its financial survival.
Tsipras explained that those negotiations to prevent insolvency became “not just a way of achieving improved terms for the country. They were an experiment, an historic chance to demonstrate the validity of Varoufakis's theories.”
Critical Negotiations
Amid rollercoaster negotiations, the country came perilously on the brink of leaving the eurozone.
On the line lay not only Greece's destiny but also the punishing austerity measures demanded in exchange for rescue loans by international creditors.
Failed Alternatives
Efforts to secure financing elsewhere, such as a desperate appeal to the Kremlin to buy Greek bonds, were rejected.
Assisting the indebted country would be equivalent to throwing money in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Public Vote and Reversal
That summer, those harsh conditions were subjected to a popular referendum, a move which threw Europe into a deeper existential crisis.
Although the referendum was won resoundingly by those who opposed the cuts, Tsipras had little option but to reject its outcome then agree to a rescue deal from foreign lenders which proved to be more severe.
Breaking Point
The ex-PM revealed that he started questioning Varoufakis quite early on.
“He was the face of negotiation, the figure who drew publicity, who appeared on the front pages of publications globally … he gave the impression he was enjoying the spotlight.”
After the minister proposed a contingency plan that included establishing a parallel currency and issuing vouchers to retirees, the leader said he realised it was the end questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the memoir, the author concludes that Varoufakis demonstrated himself to be “unfit for an agreement demanding intricate and delicate handling.”
Tsipras further wrote that Varoufakis's confrontational approach left him more and more alone with colleagues, put Greece at risk, and helped hardliners who were pushing for Grexit.
This retelling of events has provoked fury along with shock in some quarters, while Varoufakis has kept a conspicuous quiet on the matter.
