In a freshly published personal account, titled Ithaki, the former leader Alexis Tsipras pulls no punches while he revisits that turbulent period during Greece's financial crisis.
An Unconventional Appointment
In the ex-PM's account, Tsipras selected the maverick academic Yanis Varoufakis as the treasury head largely because of his worldwide fame along with Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, actually, more like a personality rather than an economic expert,” wrote Tsipras.
Conflicting Agendas
The former leader alleges that Varoufakis possessed his own agenda that involved promoting Varoufakis's publications as well as testing out his economic models on Greece rather than genuinely advocating its financial survival.
He explained that the talks to avoid bankruptcy were “not just a method to secure a better deal for Greece. They became an experiment, a monumental chance to prove the validity of his economic theories.”
Critical Talks
During rollercoaster negotiations, Greece came perilously close to leaving the single currency area.
At stake lay both the country's future and the severe cutbacks demanded in return for rescue loans by foreign lenders.
Unsuccessful Alternatives
Attempts to secure funds elsewhere, such as a desperate appeal to the Kremlin to buy Greek government bonds, went unanswered.
Helping Greece was equivalent to throwing money into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Public Vote Followed by Reversal
In July 2015, the punitive bailout terms were put to a popular referendum, an action which plunged Europe into a deeper existential crisis.
Although the vote was carried resoundingly by voters against the cuts, Tsipras was forced but to reject its outcome then negotiate a rescue deal from creditors which turned out to be even harsher.
Final Straw
The ex-PM revealed how he started questioning Varoufakis quite early on.
“He was the face of negotiation, the man who attracted publicity, who appeared on the covers of publications globally … he gave the impression he relished his new role.”
After Varoufakis proposed a contingency plan involving establishing a parallel currency as well as distributing vouchers to retirees, the leader said he realised it was the end and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
In the book, the author asserts how his former ally demonstrated himself to be “unsuitable for a deal demanding complex and delicate handling.”
Tsipras further wrote that Varoufakis's aggressive approach left him increasingly isolated among peers, endangered the country, and helped hardliners that were pushing for Grexit.
The retelling of events has been met with anger and stunned disbelief among certain groups, while Varoufakis has maintained a deafening silence on the matter.
