Within his freshly published personal account, called Ithaki, the ex- leader Alexis Tsipras pulls no punches while he reflects on the turbulent era during Greece's debt drama.
An Unconventional Choice
According to Tsipras's account, he selected the maverick academic Yanis Varoufakis to be his finance minister primarily due to the latter's international reputation along with Varoufakis's “extremely attractive” skills as a communicator.
“In reality, he was, truthfully, more like a star rather than an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests how his finance chief possessed his own agenda that included advancing Varoufakis's publications as well as experimenting with his game theories using the nation rather than truly advocating the country's financial survival.
Tsipras noted that those talks to prevent bankruptcy became “not only a method to secure improved terms for Greece. They were an experiment, a monumental chance to demonstrate the validity of Varoufakis's ideas.”
Critical Negotiations
During volatile negotiations, the country came perilously on the brink of leaving the eurozone.
At stake lay not only Greece's destiny but also those severe austerity policies demanded in return for rescue loans by foreign lenders.
Failed Alternatives
Attempts to find financing elsewhere, such as a desperate plea to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping the indebted country was equivalent to tossing cash in the trash-can, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those excoriating bailout terms were subjected to a public vote, an action that threw Europe into a deeper existential crisis.
Even though the vote was carried resoundingly by those who opposed austerity, the prime minister was forced to ignore the result then agree to a bailout package with foreign lenders which proved to be tougher.
Final Straw
Tsipras revealed how 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 front pages of magazines globally … he gave the impression he was enjoying his new role.”
When the minister proposed a backup strategy involving creating a secondary currency and distributing coupons to pensioners, Tsipras knew it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
In the book, Tsipras asserts how Varoufakis demonstrated himself to be “unfit for an agreement demanding complex and delicate handling.”
Tsipras also wrote that Varoufakis's aggressive style made him more and more alone with colleagues, endangered the country, and assisted hardliners who were pushing for a Greek exit from the euro.
This retelling of history has provoked fury along with shock in some quarters, whereas the former minister has kept a conspicuous quiet on the matter.
