In a newly released memoir, named Ithaki, the ex- leader Alexis Tsipras spares no criticism as he revisits the turbulent era of Greece's financial crisis.
An Unconventional Choice
As per the ex-PM's version, he chose that unorthodox economist Yanis Varoufakis as his treasury head primarily because of his international reputation along with his highly compelling abilities as a communicator.
“He was, in reality, more of a celebrity rather than an economist,” recalled the 51-year-old.
Conflicting Agendas
Tsipras alleges how Varoufakis had his own motives that involved advancing Varoufakis's books and experimenting with his economic models using the nation rather than truly advocating the country's financial survival.
Tsipras wrote that those discussions to avoid bankruptcy were “not only a way to secure improved terms for Greece. They were an experiment, a monumental chance to demonstrate the validity of his ideas.”
High-Stakes Negotiations
Amid tense discussions, the country came dangerously close to leaving the single currency area.
On the line was not only Greece's destiny but also those harsh austerity policies demanded in exchange for rescue loans by foreign lenders.
Failed Alternatives
Efforts to secure funds from other sources, such as a desperate plea to the Kremlin to purchase Greek government bonds, went unanswered.
Helping Greece was tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by U-Turn
In July 2015, the harsh conditions were subjected to a popular referendum, a move which threw the EU into further crisis of identity.
Although the referendum was won resoundingly by voters who opposed austerity, the prime minister had little option but to reject its outcome and agree to a bailout package with foreign lenders which turned out to be tougher.
Breaking Point
Tsipras revealed how he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the man who drew media attention, who graced the covers of publications globally … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included establishing a secondary currency as well as issuing coupons to pensioners, the leader said he realised that it was game over and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the memoir, the author asserts how Varoufakis had proved himself to be “unfit for a deal that required complex and delicate management.”
Tsipras further wrote that Varoufakis's confrontational style left him increasingly isolated with colleagues, put Greece at risk, while helped hawks who were advocating a Greek exit from the euro.
This retelling of events has provoked anger along with stunned disbelief among certain groups, whereas the former minister has so far kept a conspicuous quiet regarding these claims.
