In a newly released personal account, named Ithaki, the ex- leader Alexis Tsipras pulls no punches as he examines that chaotic era during Greece's financial crisis.
An Unconventional Choice
In Tsipras's account, Tsipras selected that maverick economist Yanis Varoufakis as his finance minister primarily because of his global profile and Varoufakis's “extremely attractive” skills when it came to speaker.
“In reality, he was, in reality, more like a personality and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
Tsipras claims that Varoufakis had his own motives that included advancing his publications and testing out his theories using Greece instead of truly fighting for its economic stability.
Tsipras noted that the negotiations to stave off bankruptcy became “not just a way to secure a better deal for Greece. They were a test, a monumental opportunity to prove the validity of his ideas.”
Critical Talks
During volatile negotiations, Greece came dangerously close to exiting the single currency area.
At stake was not only Greece's future and those severe austerity measures required in return for financial aid from international creditors.
Unsuccessful Options
Efforts to find financing from other sources, including a desperate plea to Russia to purchase Greek government bonds, were rejected.
Helping Greece was equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those harsh bailout terms were put to a public vote, a move which threw Europe into deeper crisis of identity.
Although the referendum was won resoundingly by those against the cuts, the prime minister had little option to ignore the result and negotiate a bailout package from creditors which proved to be more severe.
Breaking Point
The ex-PM claimed that he began to doubt his finance minister quite early on.
“He was the face of negotiation, the man who drew publicity, who appeared on the covers of magazines globally … he gave the impression he was enjoying his new role.”
After the minister proposed a backup strategy involving establishing a parallel currency and distributing coupons to retirees, Tsipras knew that it was game over and asked Varoufakis: “Can you be serious?”
Lasting Rebuke
In the book, the author asserts that his former ally demonstrated himself to be “unsuitable for an agreement that required intricate and delicate management.”
He further claimed that his confrontational approach left him more and more alone with colleagues, put Greece at risk, and assisted hawks who were advocating a Greek exit from the euro.
This retelling of events has provoked anger and shock in some quarters, while the former minister has maintained a deafening silence regarding these claims.
