In a recently unveiled personal account, titled Ithaki, the former leader Tsipras pulls no punches while he examines the turbulent era during Greece's debt drama.
A Controversial Appointment
According to Tsipras's recollections, Tsipras chose that maverick academic Yanis Varoufakis to be the finance minister primarily because of the latter's international reputation and his “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more like a celebrity rather than an economic expert,” stated Tsipras.
Clashing Agendas
Tsipras claims how Varoufakis possessed a personal agenda which included advancing his books as well as testing out his theories on Greece instead of truly advocating its economic stability.
He explained how those discussions to stave off insolvency were “not only a method to secure improved terms for Greece. They became a test, an historic opportunity to demonstrate the validity of his theories.”
High-Stakes Talks
During rollercoaster discussions, the country found itself perilously on the brink of leaving the single currency area.
On the line lay not only Greece's future and those punishing cutbacks required in return for rescue loans by foreign lenders.
Unsuccessful Alternatives
Attempts to find financing from other sources, such as an urgent plea to Russia to buy Greek government bonds, were rejected.
Helping the indebted country would be tantamount to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
In July 2015, the excoriating conditions were put to a public vote, an action which threw the EU into a further crisis of identity.
Although the referendum was won resoundingly by those who opposed austerity, the prime minister had little option but to reject its outcome and agree to a rescue deal with creditors that proved to be more severe.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of the talks, the man who attracted publicity, who appeared on the front pages of magazines the world over … it seemed he relished his new role.”
When the minister outlined a backup strategy that included creating a parallel currency as well as distributing coupons to pensioners, Tsipras said he realised it was game over questioning Varoufakis: “Is this for real?”
Lasting Rebuke
In the book, Tsipras concludes that his former ally demonstrated himself “unfit for a deal that required intricate and sensitive handling.”
He further wrote that Varoufakis's aggressive approach left him increasingly isolated among peers, endangered the country, and helped hawks who were advocating a Greek exit from the euro.
This retelling of history has provoked anger along with stunned disbelief in some quarters, while Varoufakis has kept a deafening silence on the matter.
