In a recently unveiled personal account, called Ithaki, the ex- premier Tsipras pulls no punches while he examines that turbulent era of Greece's debt drama.
An Unconventional Appointment
According to the ex-PM's version, he chose the maverick academic Yanis Varoufakis to be his treasury head largely due to his global profile and his highly compelling skills when it came to public orator.
“In reality, he was, truthfully, more of a celebrity rather than an economic expert,” recalled the 51-year-old.
Clashing Priorities
The former leader alleges that Varoufakis possessed a personal motives which involved promoting Varoufakis's books and testing out his own economic models using the nation rather than genuinely fighting for its economic stability.
Tsipras wrote how the discussions to prevent bankruptcy became “not just a method to secure improved terms for Greece. They were an experiment, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Talks
During volatile discussions, Greece came dangerously on the brink of leaving the single currency area.
At stake was not only Greece's destiny but also those punishing austerity policies demanded in return for bailout funds from foreign lenders.
Unsuccessful Alternatives
Attempts to find funds elsewhere, including an urgent appeal to Russia to buy Greek bonds, were rejected.
Helping the indebted country would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those punitive bailout terms were subjected to a popular referendum, an action that threw the EU into a deeper existential crisis.
Even though the vote was carried resoundingly by voters who opposed the cuts, the prime minister had little option but to reject its outcome and agree to a rescue deal with creditors which turned out to be more severe.
Final Straw
The ex-PM revealed that he began to doubt Varoufakis relatively soon.
“He was the face of negotiation, the figure who attracted publicity, who graced the front pages of publications globally … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a backup strategy that included establishing a parallel currency as well as distributing vouchers to pensioners, Tsipras knew it was game over and asked Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras asserts that Varoufakis demonstrated himself “unsuitable for a deal that required complex and sensitive handling.”
He also claimed that Varoufakis's confrontational approach left him increasingly isolated with colleagues, put Greece at risk, while helped hardliners that were pushing for Grexit.
This retelling of events has provoked fury along with stunned disbelief among certain groups, whereas Varoufakis has so far kept a deafening silence on the matter.
