In a recently unveiled memoir, titled Ithaki, the ex- premier Alexis Tsipras spares no criticism as he revisits the turbulent era during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's recollections, he appointed the maverick academic Yanis Varoufakis to be the treasury head largely because of his international reputation and Varoufakis's very persuasive abilities as a public orator.
“He was, in reality, more like a personality rather than an economist,” stated Tsipras.
Conflicting Priorities
The former leader claims how Varoufakis had his own agenda that involved promoting Varoufakis's books and testing out his economic models using Greece instead of truly fighting for the country's economic stability.
Tsipras wrote how those talks to prevent bankruptcy were “not only a method to secure a better deal for Greece. They became an experiment, an historic chance to prove the validity of Varoufakis's theories.”
Critical Talks
During volatile discussions, the country found itself dangerously close to exiting the single currency area.
On the line was not only Greece's destiny but also the harsh austerity policies required in return for rescue loans from international creditors.
Unsuccessful Options
Efforts to secure financing elsewhere, including a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader reportedly told his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, those excoriating conditions were put to a public vote, an action which threw Europe into further existential crisis.
Although the vote was won decisively by those against the cuts, the prime minister was forced but to ignore the result and negotiate a bailout package from foreign lenders which turned out to be tougher.
Final Straw
The ex-PM revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who appeared on the covers of publications the world over … it seemed he was enjoying his new role.”
When the minister outlined a backup strategy involving creating a parallel currency as well as distributing vouchers to retirees, the leader knew that it was the end and asked him: “Is this for real?”
Enduring Rebuke
In the memoir, the author asserts how Varoufakis demonstrated himself to be “unfit for an agreement that required complex and sensitive handling.”
He also wrote how Varoufakis's confrontational style left him increasingly isolated among peers, put Greece at risk, while assisted hardliners who were pushing for Grexit.
This retelling of history has provoked anger and stunned disbelief in some quarters, while the former minister has so far kept a deafening silence regarding these claims.
