In a newly released autobiography, titled Ithaki, the ex- leader Tsipras pulls no punches while he examines that turbulent era during Greece's debt drama.
A Controversial Appointment
As per the ex-PM's account, he selected the maverick academic Yanis Varoufakis as the treasury head mainly due to his global profile along with Varoufakis's highly compelling skills when it came to communicator.
“He was, truthfully, more like a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Priorities
The former leader alleges how his finance chief had his own motives which included advancing Varoufakis's books and experimenting with his own theories using the nation rather than truly advocating the country's economic stability.
He explained that the negotiations to avoid insolvency were “not just a way of achieving improved terms for the country. They became a test, an historic opportunity to demonstrate the validity of his theories.”
Critical Talks
During tense negotiations, Greece found itself perilously on the brink of exiting the single currency area.
On the line lay not only the country's destiny and the punishing austerity measures required in exchange for financial aid from international creditors.
Failed Alternatives
Attempts to secure funds from other sources, including a desperate appeal to Russia to purchase Greek government bonds, went unanswered.
Assisting the indebted country would be tantamount to throwing money into the garbage, Putin is reputed to have informed Tsipras during their meeting.
Public Vote and Reversal
That summer, those punitive conditions were put to a public vote, a move that plunged Europe into further existential crisis.
Although the vote was won resoundingly by voters against the cuts, Tsipras had little option but to ignore the result then negotiate a rescue deal with foreign lenders that proved to be more severe.
Final Straw
The ex-PM claimed that he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who appeared on the front pages of magazines globally … it seemed he relished his new role.”
After Varoufakis proposed a backup strategy involving establishing a secondary currency as well as distributing vouchers to retirees, Tsipras said he realised it was game over and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras concludes how his former ally demonstrated himself to be “unfit for an agreement demanding complex and sensitive management.”
He further wrote how his aggressive approach made him more and more alone among peers, endangered the country, while assisted hawks who were advocating Grexit.
This account of history has provoked fury and shock in some quarters, while Varoufakis has so far maintained a conspicuous quiet on the matter.
