Within his newly released memoir, named Ithaki, the ex- leader Alexis Tsipras does not hold back while he revisits the turbulent era during Greece's debt drama.
A Controversial Appointment
In the ex-PM's recollections, Tsipras chose that unorthodox economist Yanis Varoufakis as the finance minister mainly because of the latter's worldwide fame along with Varoufakis's very persuasive skills as a communicator.
“In reality, he was, actually, more of a star and less of an economist,” wrote the 51-year-old.
Clashing Agendas
The former leader claims that his finance chief possessed his own motives which included advancing Varoufakis's publications and testing out his theories on the nation instead of genuinely advocating the country's economic stability.
He explained how those discussions to avoid bankruptcy became “not only a method of achieving improved terms for the country. They were a test, an historic chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During tense discussions, the country came perilously close to exiting the eurozone.
At stake was not only Greece's destiny but also the harsh austerity policies required in return for bailout funds by foreign lenders.
Failed Alternatives
Attempts to secure funds elsewhere, such as a desperate appeal to the Kremlin to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly told Tsipras in Moscow.
Public Vote Followed by U-Turn
That summer, those punitive conditions were put to a public vote, a move that plunged Europe into a deeper existential crisis.
Even though the vote was won decisively by those against the cuts, the prime minister had little option to ignore the result and agree to a rescue deal from foreign lenders which turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who drew publicity, who appeared on the covers of publications globally … it seemed he relished the spotlight.”
When the minister outlined a contingency plan involving creating a parallel currency and issuing coupons to pensioners, Tsipras said he realised it was the end questioning Varoufakis: “Is this for real?”
Lasting Criticism
In the book, the author asserts how Varoufakis had proved himself “unsuitable for an agreement demanding complex and delicate management.”
Tsipras also claimed that his confrontational approach made him more and more alone with colleagues, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
The account of events has been met with fury and stunned disbelief in some quarters, whereas Varoufakis has so far maintained a conspicuous quiet regarding these claims.
