Within his recently unveiled autobiography, titled Ithaki, the ex- premier Tsipras pulls no punches as he revisits the turbulent era during Greece's economic turmoil.
An Unconventional Appointment
According to the ex-PM's version, he appointed the maverick academic Yanis Varoufakis to be the treasury head primarily because of the latter's international reputation along with Varoufakis's “extremely attractive” skills as a communicator.
“In reality, he was, actually, more like a star rather than an economic expert,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests that Varoufakis had his own motives which involved promoting Varoufakis's publications and experimenting with his theories on Greece rather than genuinely advocating the country's financial survival.
Tsipras explained how the talks to stave off bankruptcy became “not only a method of achieving improved terms for the country. They became an experiment, an historic opportunity to demonstrate the truth of his economic theories.”
Critical Negotiations
Amid volatile negotiations, Greece came perilously close to exiting the single currency area.
On the line lay both the country's destiny and those harsh austerity measures demanded in return for rescue loans by foreign lenders.
Unsuccessful Alternatives
Efforts to find financing elsewhere, including an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Helping Greece was tantamount to tossing cash into the garbage, Putin reportedly told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
In July 2015, the harsh bailout terms were put to a public vote, an action which threw the EU into a deeper existential crisis.
Although the vote was carried resoundingly by those who opposed austerity, Tsipras was forced but to reject its outcome then agree to a rescue deal with foreign lenders that proved to be tougher.
Final Straw
The ex-PM claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of the talks, the figure who attracted publicity, who appeared on the covers of publications the world over … he gave the impression he relished his new role.”
When Varoufakis proposed a backup strategy that included creating a secondary currency and issuing vouchers to retirees, Tsipras knew that it was game over questioning him: “Can you be serious?”
Lasting Rebuke
Within the book, the author concludes how Varoufakis demonstrated himself to be “unsuitable for a deal that required intricate and sensitive management.”
Tsipras further claimed that Varoufakis's confrontational style left him increasingly isolated among peers, endangered the country, and helped hawks who were advocating a Greek exit from the euro.
The retelling of history has provoked fury along with stunned disbelief in some quarters, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
