In a recently unveiled personal account, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches while he reflects on that turbulent era during Greece's economic turmoil.
A Controversial Appointment
In the ex-PM's account, Tsipras chose the maverick economist Yanis Varoufakis to be the treasury head largely because of the latter's global profile and Varoufakis's very persuasive abilities as a public orator.
“In reality, he was, actually, more like a star and less of an economist,” recalled Tsipras.
Clashing Agendas
The former leader claims that Varoufakis had his own agenda that included promoting his publications and testing out his game theories using the nation instead of truly fighting for its financial survival.
Tsipras explained that those discussions to prevent bankruptcy were “not only a way to secure improved terms for the country. They became a test, a monumental chance to prove the truth of his economic theories.”
High-Stakes Negotiations
During tense negotiations, Greece found itself perilously close to exiting the single currency area.
On the line was not only the country's future but also the severe cutbacks demanded in exchange for rescue loans from foreign lenders.
Failed Options
Efforts to secure financing elsewhere, including a desperate plea to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country was equivalent to tossing cash in the trash-can, Putin reportedly informed Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those excoriating bailout terms were subjected to a popular referendum, a move which plunged the EU into a deeper crisis of identity.
Although the referendum was won resoundingly by voters who opposed austerity, the prime minister had little option but to ignore the result and negotiate a bailout package with foreign lenders which proved to be even harsher.
Final Straw
The ex-PM revealed that he started questioning his finance minister relatively soon.
“He was the public image of the talks, the man who attracted media attention, who graced the covers of magazines globally … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a backup strategy that included establishing a secondary currency and distributing coupons to retirees, the leader knew that it was the end and asked him: “Is this for real?”
Enduring Criticism
Within the book, the author concludes how his former ally demonstrated himself “unsuitable for an agreement demanding intricate and sensitive handling.”
Tsipras further claimed how his aggressive approach made him more and more alone with colleagues, put Greece at risk, and assisted hawks that were advocating Grexit.
This account of events has provoked anger and shock among certain groups, whereas the former minister has so far maintained a deafening silence regarding these claims.
