In a newly released autobiography, named Ithaki, the former premier Tsipras pulls no punches as he examines that turbulent period during Greece's financial crisis.
An Unconventional Appointment
According to Tsipras's version, Tsipras selected that maverick academic Yanis Varoufakis to be his treasury head mainly because of the latter's worldwide fame along with Varoufakis's very persuasive abilities when it came to communicator.
“In reality, he was, actually, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Priorities
Tsipras alleges that Varoufakis had a personal motives that included advancing Varoufakis's publications as well as experimenting with his own economic models using Greece instead of truly fighting for the country's economic stability.
Tsipras explained that those discussions to avoid bankruptcy became “not only a way of achieving improved terms for Greece. They were a test, a monumental opportunity to demonstrate the validity of his ideas.”
High-Stakes Talks
Amid volatile negotiations, Greece found itself perilously on the brink of exiting the eurozone.
At stake lay not only the country's future and those harsh austerity policies demanded in return for financial aid by international creditors.
Failed Options
Efforts to find funds from other sources, such as a desperate appeal to Russia to purchase Greek government bonds, went unanswered.
Assisting Greece was equivalent to tossing cash in the trash-can, the Russian leader reportedly told his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, those punitive conditions were put to a popular referendum, a move which threw the EU into a further existential crisis.
Although the referendum was won decisively by voters against the cuts, Tsipras was forced but to reject its outcome and negotiate a bailout package from foreign lenders which proved to be tougher.
Breaking Point
The ex-PM claimed how he started questioning his finance minister quite early on.
“He was the public image of the talks, the figure who attracted publicity, who graced the covers of publications the world over … he gave the impression he relished the spotlight.”
When the minister outlined a backup strategy that included creating a secondary currency as well as issuing coupons to retirees, Tsipras knew that it was the end questioning him: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras asserts that Varoufakis demonstrated himself to be “unsuitable for an agreement that required complex and sensitive management.”
Tsipras further claimed that Varoufakis's aggressive style made him increasingly isolated among peers, put Greece at risk, and helped hawks that were advocating Grexit.
This account of events has provoked anger and stunned disbelief in some quarters, whereas Varoufakis has so far maintained a conspicuous quiet on the matter.
