In a freshly published personal account, called Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he reflects on the chaotic era of Greece's financial crisis.
A Controversial Appointment
According to the ex-PM's recollections, he appointed that unorthodox economist Yanis Varoufakis as the finance minister primarily because of the latter's international reputation and Varoufakis's very persuasive skills when it came to speaker.
“He was, actually, more of a star rather than an economic expert,” recalled Tsipras.
Clashing Agendas
Tsipras alleges that his finance chief had his own motives which involved advancing his publications as well as experimenting with his economic models using the nation instead of truly fighting for its financial survival.
He noted that those discussions to prevent insolvency became “not just a method to secure improved terms for Greece. They became an experiment, a monumental opportunity to demonstrate the validity of his ideas.”
High-Stakes Negotiations
Amid rollercoaster negotiations, Greece found itself perilously on the brink of exiting the single currency area.
At stake lay not only the country's destiny but also the severe austerity policies demanded in return for bailout funds by foreign lenders.
Unsuccessful Alternatives
Attempts to find financing from other sources, such as an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece was tantamount to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart during their meeting.
Public Vote and Reversal
That summer, those punitive conditions were subjected to a public vote, an action that plunged Europe into deeper crisis of identity.
Even though the vote was carried decisively by voters who opposed the cuts, the prime minister was forced but to ignore the result then negotiate a bailout package from foreign lenders that turned out to be more severe.
Final Straw
The ex-PM claimed that he started questioning his finance minister quite early on.
“He was the face of negotiation, the figure who attracted publicity, who appeared on the covers of magazines globally … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy involving establishing a secondary currency as well as distributing vouchers to pensioners, Tsipras said he realised that it was game over and asked Varoufakis: “Are you serious?”
Enduring Criticism
Within the memoir, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for an agreement demanding intricate and sensitive handling.”
He also wrote that his aggressive style made him increasingly isolated with colleagues, put Greece at risk, and helped hardliners that were pushing for Grexit.
This retelling of events has been met with fury along with shock in some quarters, whereas Varoufakis has maintained a deafening silence on the matter.
