In a newly released personal account, titled Ithaki, the ex- prime minister Tsipras pulls no punches while he examines the chaotic era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's account, he appointed that maverick academic Yanis Varoufakis as the finance minister largely due to his worldwide fame and his very persuasive skills when it came to communicator.
“He was, in reality, more of a celebrity rather than an economist,” stated Tsipras.
Conflicting Priorities
Tsipras suggests that Varoufakis possessed his own motives that included promoting Varoufakis's books and testing out his own economic models on Greece rather than truly advocating its economic stability.
He noted that the talks to prevent bankruptcy became “not only a way of achieving a better deal for Greece. They were a test, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During volatile negotiations, the country found itself perilously on the brink of exiting the eurozone.
At stake lay both Greece's destiny but also the severe austerity measures required in exchange for financial aid from foreign lenders.
Unsuccessful Alternatives
Attempts to find funds elsewhere, including a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Assisting Greece was equivalent to throwing money into the garbage, the Russian leader reportedly told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
In July 2015, those excoriating conditions were put to a popular referendum, a move that threw the EU into a deeper existential crisis.
Although the referendum was carried resoundingly by those against the cuts, Tsipras was forced to reject its outcome then negotiate a rescue deal with creditors which turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning Varoufakis quite early on.
“He was the public image of negotiation, the figure who attracted publicity, who appeared on the covers of publications the world over … he gave the impression he was enjoying his new role.”
After the minister proposed a contingency plan involving creating a parallel currency and distributing coupons to retirees, the leader knew it was game over questioning Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras asserts that Varoufakis had proved himself to be “unsuitable for an agreement that required intricate and delicate handling.”
He further claimed that his confrontational style left him increasingly isolated among peers, put Greece at risk, and assisted hardliners that were advocating Grexit.
The account of events has provoked fury along with stunned disbelief in some quarters, while Varoufakis has so far maintained a conspicuous quiet on the matter.
