Within his freshly published personal account, called Ithaki, the ex- premier Alexis Tsipras does not hold back as he examines that turbulent era of Greece's financial crisis.
A Controversial Choice
According to the ex-PM's recollections, Tsipras selected the unorthodox economist Yanis Varoufakis to be the treasury head largely due to his global profile and his very persuasive abilities when it came to public orator.
“In reality, he was, truthfully, more of a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Priorities
The former leader claims how Varoufakis possessed his own agenda that involved advancing his books and testing out his own economic models using the nation instead of genuinely advocating the country's financial survival.
He noted how the discussions to stave off bankruptcy were “not only a method of achieving improved terms for the country. They became a test, a monumental chance to prove the truth of his ideas.”
High-Stakes Negotiations
During rollercoaster discussions, Greece came perilously on the brink of exiting the eurozone.
At stake was not only Greece's destiny but also the punishing austerity policies required in exchange for bailout funds from foreign lenders.
Unsuccessful Options
Efforts to secure funds elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, were rejected.
Helping Greece was equivalent to tossing cash in the trash-can, Putin is reputed to have informed Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, the punitive conditions were subjected to a popular referendum, an action that threw Europe into a deeper existential crisis.
Even though the referendum was won decisively by those against the cuts, the prime minister was forced but to reject its outcome and negotiate a bailout package with creditors that turned out to be more severe.
Breaking Point
Tsipras revealed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who drew media attention, who graced the front pages of publications the world over … it seemed he relished his new role.”
After Varoufakis outlined a contingency plan involving creating a secondary currency and issuing coupons to retirees, Tsipras knew it was the end questioning him: “Can you be serious?”
Lasting Criticism
Within the book, Tsipras concludes that Varoufakis had proved himself to be “unfit for an agreement demanding intricate and sensitive management.”
He further wrote that his confrontational style made him increasingly isolated among peers, endangered the country, and assisted hardliners that were pushing for Grexit.
This retelling of events has been met with anger along with stunned disbelief among certain groups, while Varoufakis has so far kept a conspicuous quiet on the matter.
