Within his freshly published autobiography, called Ithaki, the ex- leader Tsipras pulls no punches while he examines the turbulent era during Greece's debt drama.
An Unconventional Choice
In the ex-PM's version, Tsipras appointed that unorthodox economist Yanis Varoufakis as the finance minister largely due to his international reputation along with Varoufakis's “extremely attractive” abilities when it came to communicator.
“He was, truthfully, more like a star rather than an economic expert,” recalled Tsipras.
Conflicting Priorities
Tsipras claims that his finance chief had a personal motives that included advancing Varoufakis's books and experimenting with his own economic models on the nation rather than truly advocating its financial survival.
Tsipras explained how the negotiations to avoid insolvency became “not just a way of achieving improved terms for Greece. They became an experiment, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
Critical Negotiations
Amid rollercoaster negotiations, the country came dangerously close to leaving the single currency area.
On the line lay both Greece's future and those punishing austerity measures required in return for bailout funds by foreign lenders.
Failed Alternatives
Efforts to find financing elsewhere, including a desperate appeal to Russia to purchase Greek government bonds, fell on stony ground.
Assisting the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly told his Greek counterpart during their meeting.
Referendum and U-Turn
In July 2015, those punitive conditions were put to a popular referendum, a move that plunged Europe into a deeper crisis of identity.
Although the referendum was carried decisively by voters who opposed austerity, the prime minister had little option to ignore the result and agree to a bailout package with foreign lenders that proved to be even harsher.
Breaking Point
Tsipras claimed that he began to doubt his finance minister relatively soon.
“He was the face of negotiation, the figure who attracted publicity, who graced the covers of publications globally … he gave the impression he relished his new role.”
When Varoufakis proposed a contingency plan involving creating a parallel currency as well as distributing vouchers to retirees, Tsipras said he realised that it was game over questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the memoir, Tsipras asserts how his former ally demonstrated himself “unfit for a deal that required complex and delicate management.”
He further claimed how Varoufakis's confrontational approach made him more and more alone among peers, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
This retelling of history has been met with anger and shock in some quarters, while Varoufakis has so far maintained a deafening silence on the matter.
