In a recently unveiled personal account, titled Ithaki, the ex- premier Alexis Tsipras spares no criticism while he reflects on that chaotic period of Greece's debt drama.
A Controversial Appointment
As per Tsipras's version, Tsipras selected the maverick academic Yanis Varoufakis as his finance minister primarily because of his worldwide fame and his very persuasive abilities as a communicator.
“He was, in reality, more like a celebrity and less of an economic expert,” stated Tsipras.
Clashing Priorities
The former leader suggests that his finance chief possessed his own motives which included promoting his publications as well as experimenting with his own theories on Greece rather than truly advocating its financial survival.
Tsipras explained how those talks to stave off bankruptcy became “not just a way of achieving a better deal for Greece. They were an experiment, an historic chance to prove the validity of Varoufakis's economic theories.”
Critical Negotiations
Amid tense discussions, the country came dangerously close to leaving the single currency area.
On the line lay both the country's future and the punishing austerity measures demanded in exchange for financial aid by foreign lenders.
Failed Options
Attempts to find financing elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, were rejected.
Helping Greece was equivalent to throwing money into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum and U-Turn
That summer, those harsh bailout terms were subjected to a public vote, an action that plunged the EU into further crisis of identity.
Even though the referendum was carried decisively by those who opposed the cuts, Tsipras was forced but to ignore the result and negotiate a bailout package from foreign lenders that turned out to be tougher.
Breaking Point
The ex-PM claimed how he began to doubt his finance minister relatively soon.
“He was the face of the talks, the man who attracted publicity, who appeared on the covers of magazines globally … it seemed he relished his new role.”
When the minister outlined a backup strategy that included creating a parallel currency as well as issuing coupons to pensioners, the leader said he realised that it was game over questioning him: “Can you be serious?”
Lasting Rebuke
Within the book, the author asserts how his former ally demonstrated himself “unsuitable for a deal demanding complex and sensitive handling.”
He further wrote how his confrontational approach made him increasingly isolated among peers, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
This retelling of history has been met with anger and shock in some quarters, while the former minister has maintained a deafening silence on the matter.
