In a recently unveiled autobiography, named Ithaki, the ex- leader Alexis Tsipras does not hold back while he examines that chaotic era of Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, Tsipras selected that unorthodox economist Yanis Varoufakis as the finance minister primarily because of the latter's global profile and his very persuasive abilities as a speaker.
“In reality, he was, actually, more of a personality and less of an economic expert,” stated Tsipras.
Conflicting Agendas
The former leader alleges how his finance chief possessed his own motives which included advancing his publications as well as testing out his own economic models using Greece instead of truly advocating its financial survival.
Tsipras noted how those negotiations to avoid bankruptcy became “not just a way of achieving improved terms for the country. They became an experiment, a monumental chance to prove the validity of Varoufakis's ideas.”
High-Stakes Negotiations
During tense discussions, the country came perilously on the brink of leaving the eurozone.
On the line lay both Greece's destiny but also the severe austerity policies required in return for rescue loans by international creditors.
Failed Options
Efforts to secure financing elsewhere, such as a desperate appeal to the Kremlin to buy Greek bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by Reversal
In July 2015, the excoriating conditions were put to a popular referendum, a move which threw the EU into deeper existential crisis.
Even though the referendum was carried decisively by voters against the cuts, the prime minister had little option to ignore the result and negotiate a rescue deal with foreign lenders which turned out to be more severe.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the man who attracted media attention, who appeared on the covers of magazines globally … he gave the impression he was enjoying his new role.”
When the minister outlined a backup strategy that included establishing a parallel currency as well as distributing coupons to retirees, Tsipras said he realised that it was the end questioning Varoufakis: “Is this for real?”
Lasting Rebuke
Within the book, the author asserts how his former ally demonstrated himself to be “unsuitable for a deal that required complex and delicate handling.”
Tsipras further wrote that Varoufakis's aggressive approach made him increasingly isolated with colleagues, put Greece at risk, and helped hawks who were advocating a Greek exit from the euro.
This retelling of events has provoked fury and stunned disbelief in some quarters, while Varoufakis has so far maintained a conspicuous quiet on the matter.
