In a newly released autobiography, called Ithaki, the former premier Alexis Tsipras pulls no punches while he revisits that chaotic period of Greece's economic turmoil.
An Unconventional Appointment
As per the ex-PM's version, Tsipras selected the maverick economist Yanis Varoufakis to be his treasury head largely because of the latter's worldwide fame along with Varoufakis's highly compelling skills as a communicator.
“He was, truthfully, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
The former leader alleges how his finance chief had his own agenda that included advancing his books as well as experimenting with his own game theories on Greece instead of genuinely fighting for its economic stability.
He wrote that those discussions to stave off bankruptcy became “not only a way of achieving a better deal for Greece. They became a test, an historic chance to prove the validity of Varoufakis's economic theories.”
High-Stakes Talks
Amid volatile negotiations, the country found itself perilously close to leaving the single currency area.
At stake was not only the country's destiny but also the harsh austerity measures demanded in return for financial aid from foreign lenders.
Failed Options
Efforts to find financing from other sources, such as a desperate plea to the Kremlin to buy Greek government bonds, were rejected.
Assisting Greece was tantamount to throwing money into the garbage, the Russian leader reportedly informed Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, those harsh bailout terms were subjected to a public vote, a move which plunged the EU into a deeper existential crisis.
Although the vote was won resoundingly by voters against austerity, Tsipras was forced but to ignore the result then agree to a rescue deal with creditors that turned out to be even harsher.
Final Straw
Tsipras revealed how he began to doubt Varoufakis relatively soon.
“He was the public image of the talks, the man who drew publicity, who appeared on the front pages of publications globally … he gave the impression he was enjoying his new role.”
When Varoufakis outlined a contingency plan that included establishing a secondary currency and issuing vouchers to pensioners, Tsipras knew that it was the end and asked him: “Are you serious?”
Lasting Rebuke
In the memoir, the author concludes that his former ally had proved himself to be “unfit for a deal demanding intricate and delicate management.”
Tsipras also wrote how Varoufakis's aggressive style left him more and more alone with colleagues, put Greece at risk, while assisted hardliners that were pushing for Grexit.
The retelling of events has provoked fury along with shock among certain groups, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
