In a newly released personal account, named Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he reflects on the turbulent era during Greece's economic turmoil.
A Controversial Choice
As per the ex-PM's recollections, Tsipras selected that unorthodox economist Yanis Varoufakis as the finance minister largely because of his international reputation and Varoufakis's highly compelling skills as a public orator.
“In reality, he was, truthfully, more of a personality rather than an economist,” stated Tsipras.
Clashing Agendas
The former leader alleges that Varoufakis had his own agenda that included advancing his books and testing out his economic models on Greece instead of truly advocating its economic stability.
He noted how the discussions to avoid bankruptcy became “not just a method to secure improved terms for the country. They were a test, a monumental chance to demonstrate the validity of his theories.”
Critical Negotiations
During tense discussions, the country came perilously close to leaving the single currency area.
At stake lay both Greece's destiny but also the severe austerity policies demanded in return for rescue loans by foreign lenders.
Failed Alternatives
Efforts to find funds elsewhere, including a desperate appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece would be tantamount to tossing cash into the garbage, the Russian leader reportedly told Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those excoriating conditions were subjected to a popular referendum, a move that threw Europe into a further crisis of identity.
Even though the referendum was carried decisively by those who opposed austerity, the prime minister was forced to reject its outcome then agree to a rescue deal with foreign lenders that turned out to be tougher.
Final Straw
Tsipras revealed how he started questioning his finance minister relatively soon.
“He was the face of negotiation, the figure who attracted media attention, who appeared on the front pages of publications globally … he gave the impression he relished his new role.”
After Varoufakis proposed a backup strategy that included creating a parallel currency as well as distributing vouchers to pensioners, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Lasting Rebuke
In the book, Tsipras asserts that his former ally demonstrated himself to be “unsuitable for a deal demanding intricate and sensitive management.”
Tsipras further claimed that his aggressive style left him increasingly isolated among peers, put Greece at risk, while assisted hardliners who were advocating Grexit.
This account of history has been met with anger along with shock in some quarters, whereas Varoufakis has kept a deafening silence on the matter.
