Within his recently unveiled memoir, named Ithaki, the former leader Tsipras pulls no punches while he reflects on that chaotic period during Greece's financial crisis.
A Controversial Appointment
As per Tsipras's account, Tsipras selected the maverick economist Yanis Varoufakis as his treasury head primarily because of his worldwide fame along with Varoufakis's “extremely attractive” skills as a communicator.
“He was, in reality, more of a star and less of an economist,” stated the 51-year-old.
Conflicting Agendas
The former leader alleges that his finance chief possessed his own motives which included advancing Varoufakis's publications and testing out his own game theories using Greece instead of genuinely advocating its financial survival.
Tsipras wrote how the discussions to avoid insolvency were “not only a way of achieving a better deal for Greece. They were an experiment, a monumental chance to demonstrate the truth of his economic theories.”
High-Stakes Negotiations
Amid volatile discussions, the country came perilously on the brink of leaving the single currency area.
On the line was both the country's future and those punishing austerity measures demanded in return for rescue loans by foreign lenders.
Unsuccessful Options
Attempts to secure funds from other sources, including an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Helping Greece was equivalent to throwing money in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum and U-Turn
That summer, those punitive bailout terms were subjected to a popular referendum, an action that plunged Europe into a deeper crisis of identity.
Although the referendum was carried decisively by voters who opposed the cuts, the prime minister had little option to reject its outcome and agree to a bailout package from creditors that turned out to be tougher.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“He was the face of negotiation, the man who drew media attention, who appeared on the front pages of publications the world over … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a contingency plan that included establishing a secondary currency and issuing coupons to retirees, the leader knew it was the end and asked him: “Are you serious?”
Enduring Rebuke
Within the book, the author concludes that his former ally had proved himself “unfit for an agreement demanding complex and delicate handling.”
He further wrote that his aggressive style made him more and more alone among peers, endangered the country, while assisted hardliners who were pushing for a Greek exit from the euro.
This retelling of events has provoked anger and shock in some quarters, whereas the former minister has kept a deafening silence on the matter.
