Within his recently unveiled memoir, called Ithaki, the ex- premier Tsipras pulls no punches while he examines that turbulent period of Greece's debt drama.
An Unconventional Choice
According to the ex-PM's recollections, he selected the maverick economist Yanis Varoufakis as his finance minister primarily because of the latter's worldwide fame along with Varoufakis's “extremely attractive” skills when it came to public orator.
“He was, truthfully, more like a star and less of an economic expert,” wrote Tsipras.
Clashing Agendas
The former leader suggests that his finance chief possessed his own motives which included advancing Varoufakis's publications and experimenting with his own game theories on Greece rather than genuinely advocating its financial survival.
Tsipras explained how those talks to stave off insolvency became “not only a way to secure a better deal for the country. They became a test, an historic opportunity to prove the truth of Varoufakis's theories.”
High-Stakes Negotiations
During rollercoaster discussions, the country came perilously close to leaving the eurozone.
At stake lay not only Greece's future and those harsh austerity measures required in exchange for rescue loans from foreign lenders.
Failed Options
Efforts to secure financing from other sources, including a desperate appeal to the Kremlin to purchase Greek bonds, were rejected.
Assisting Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
In July 2015, those excoriating bailout terms were subjected to a public vote, an action that threw Europe into a further crisis of identity.
Although the referendum was carried resoundingly by those who opposed austerity, the prime minister had little option but to reject its outcome then negotiate a rescue deal from creditors that turned out to be even harsher.
Final Straw
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“He was the public image of the talks, the man who drew media attention, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
After Varoufakis proposed a contingency plan that included establishing a secondary currency and issuing vouchers to retirees, Tsipras said he realised it was the end and asked him: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras concludes that Varoufakis had proved himself to be “unsuitable for a deal demanding complex and delicate handling.”
He further wrote that Varoufakis's confrontational approach left him increasingly isolated among peers, endangered the country, while helped hawks that were pushing for a Greek exit from the euro.
This retelling of events has provoked fury and shock among certain groups, while the former minister has kept a conspicuous quiet on the matter.
