In a freshly published autobiography, named Ithaki, the former prime minister Tsipras does not hold back as he reflects on that chaotic period of Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's recollections, Tsipras selected that unorthodox academic Yanis Varoufakis as his finance minister primarily due to his worldwide fame and Varoufakis's highly compelling abilities as a communicator.
“He was, in reality, more of a personality and less of an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader suggests how his finance chief possessed a personal agenda which involved advancing Varoufakis's books and experimenting with his own economic models using Greece rather than truly advocating its economic stability.
Tsipras wrote how the negotiations to prevent bankruptcy were “not only a way of achieving a better deal for Greece. They were a test, an historic opportunity to demonstrate the truth of Varoufakis's theories.”
High-Stakes Negotiations
During volatile negotiations, Greece found itself dangerously on the brink of exiting the eurozone.
At stake lay both the country's future but also those severe cutbacks required in exchange for rescue loans from foreign lenders.
Failed Options
Efforts to secure funds from other sources, including an urgent appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly told Tsipras during their meeting.
Referendum and Reversal
In July 2015, the punitive bailout terms were subjected to a public vote, an action that threw the EU into deeper crisis of identity.
Even though the referendum was won decisively by voters against austerity, Tsipras was forced but to reject its outcome and negotiate a bailout package from foreign lenders which turned out to be more severe.
Final Straw
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“He was the face of the talks, the man who attracted media attention, who appeared on the covers of magazines the world over … he gave the impression he relished the spotlight.”
When the minister proposed a backup strategy involving creating a parallel currency as well as distributing vouchers to pensioners, Tsipras said he realised that it was the end questioning him: “Is this for real?”
Lasting Criticism
In the book, Tsipras concludes how his former ally had proved himself to be “unsuitable for an agreement that required complex and delicate management.”
Tsipras further claimed that his confrontational approach made him increasingly isolated among peers, endangered the country, and helped hawks that were pushing for a Greek exit from the euro.
The retelling of history has been met with fury and stunned disbelief among certain groups, while Varoufakis has kept a conspicuous quiet regarding these claims.
