Within his recently unveiled memoir, titled Ithaki, the former premier Alexis Tsipras does not hold back while he revisits that chaotic era during Greece's financial crisis.
An Unconventional Appointment
As per Tsipras's account, Tsipras chose that maverick economist Yanis Varoufakis as the finance minister largely due to his worldwide fame along with Varoufakis's very persuasive skills as a communicator.
“In reality, he was, truthfully, more of a personality rather than an economic expert,” recalled Tsipras.
Clashing Priorities
Tsipras alleges how his finance chief possessed his own agenda which included promoting Varoufakis's publications as well as testing out his own economic models using the nation rather than truly fighting for its financial survival.
He noted how the talks to prevent bankruptcy were “not only a method to secure a better deal for Greece. They became an experiment, a monumental chance to demonstrate the validity of his economic theories.”
High-Stakes Talks
During rollercoaster negotiations, Greece came perilously close to leaving the eurozone.
At stake lay both the country's future but also those harsh austerity policies required in return for rescue loans from international creditors.
Unsuccessful Options
Efforts to find funds elsewhere, such as a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country was tantamount to tossing cash in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum and Reversal
That summer, those harsh conditions were subjected to a public vote, an action that plunged Europe into a further crisis of identity.
Even though the vote was won decisively by those against the cuts, Tsipras had little option to reject its outcome and agree to a bailout package from creditors that turned out to be more severe.
Final Straw
The ex-PM claimed that he began to doubt his finance minister relatively soon.
“He was the public image of negotiation, the figure who attracted media attention, who graced the front pages of magazines globally … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan involving creating a secondary currency and issuing vouchers to retirees, Tsipras said he realised that it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
Within the memoir, the author asserts that Varoufakis had proved himself to be “unfit for an agreement demanding complex and sensitive handling.”
He further claimed that his confrontational style left him increasingly isolated with colleagues, put Greece at risk, while helped hardliners that were pushing for a Greek exit from the euro.
The account of history has provoked fury and stunned disbelief among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.
