Within his newly released personal account, titled Ithaki, the ex- premier Alexis Tsipras spares no criticism while he reflects on the turbulent period during Greece's financial crisis.
An Unconventional Choice
As per Tsipras's version, he selected the maverick economist Yanis Varoufakis to be the treasury head mainly due to the latter's worldwide fame and his very persuasive skills as a speaker.
“He was, truthfully, more of a star rather than an economist,” recalled the 51-year-old.
Conflicting Priorities
The former leader claims that his finance chief possessed a personal agenda which involved advancing his publications as well as experimenting with his game theories using the nation rather than truly advocating the country's financial survival.
Tsipras explained that those discussions to prevent bankruptcy were “not just a way to secure improved terms for the country. They became an experiment, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
During tense negotiations, Greece found itself dangerously close to leaving the eurozone.
On the line was both the country's future and the harsh austerity measures demanded in exchange for rescue loans by international creditors.
Failed Alternatives
Efforts to find financing elsewhere, such as an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to throwing money in the trash-can, Putin reportedly told Tsipras in Moscow.
Referendum and Reversal
In July 2015, the harsh bailout terms were subjected to a public vote, a move which threw Europe into a deeper existential crisis.
Even though the referendum was carried resoundingly by voters who opposed the cuts, the prime minister had little option but to ignore the result and negotiate a rescue deal with creditors which turned out to be even harsher.
Final Straw
The ex-PM claimed how he started questioning his finance minister quite early on.
“He was the face of negotiation, the man who drew publicity, who graced the covers of publications globally … it seemed he was enjoying his new role.”
When the minister outlined a backup strategy that included creating a parallel currency and distributing vouchers to retirees, the leader knew that it was the end questioning Varoufakis: “Are you serious?”
Enduring Criticism
Within the book, the author concludes that his former ally demonstrated himself “unsuitable for a deal demanding intricate and delicate management.”
He also wrote how his confrontational style left him increasingly isolated among peers, endangered the country, and helped hawks that were pushing for Grexit.
The account of events has been met with fury and shock among certain groups, while the former minister has so far kept a conspicuous quiet regarding these claims.
