Within his recently unveiled personal account, named Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he examines that chaotic era during Greece's financial crisis.
An Unconventional Choice
According to Tsipras's recollections, he selected that unorthodox economist Yanis Varoufakis as his finance minister largely due to the latter's international reputation and his highly compelling abilities as a speaker.
“He was, truthfully, more like a celebrity and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
The former leader suggests that his finance chief possessed a personal agenda which involved advancing Varoufakis's publications and experimenting with his game theories using Greece instead of genuinely advocating the country's economic stability.
He wrote that those negotiations to prevent bankruptcy were “not just a method to secure improved terms for Greece. They became an experiment, an historic chance to prove the truth of Varoufakis's theories.”
High-Stakes Talks
Amid volatile negotiations, the country came dangerously close to leaving the single currency area.
On the line lay not only Greece's destiny and the severe cutbacks required in exchange for rescue loans by foreign lenders.
Unsuccessful Alternatives
Attempts to secure financing from other sources, including a desperate appeal to the Kremlin to purchase Greek government bonds, were rejected.
Helping Greece would be tantamount to tossing cash in the trash-can, the Russian leader reportedly told Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those punitive bailout terms were put to a public vote, an action that plunged the EU into deeper existential crisis.
Although the vote was carried resoundingly by those who opposed the cuts, the prime minister was forced to reject its outcome and agree to a rescue deal with foreign lenders which turned out to be tougher.
Breaking Point
The ex-PM claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who attracted media attention, who appeared on the covers of publications the world over … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a contingency plan involving creating a parallel currency and issuing coupons to pensioners, Tsipras said he realised that it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the book, the author asserts that Varoufakis had proved himself to be “unfit for an agreement demanding complex and sensitive management.”
Tsipras further claimed that Varoufakis's aggressive style left him increasingly isolated among peers, put Greece at risk, while helped hawks that were advocating Grexit.
The account of events has provoked anger and stunned disbelief among certain groups, while Varoufakis has so far maintained a deafening silence on the matter.
