In a freshly published autobiography, titled Ithaki, the ex- prime minister Tsipras pulls no punches while he revisits the chaotic period during Greece's debt drama.
A Controversial Choice
In Tsipras's account, Tsipras chose that unorthodox academic Yanis Varoufakis to be his treasury head largely due to his global profile along with his highly compelling skills when it came to public orator.
“He was, truthfully, more of a celebrity rather than an economic expert,” recalled the 51-year-old.
Conflicting Priorities
Tsipras claims how his finance chief possessed a personal motives that included promoting Varoufakis's publications as well as testing out his own economic models on the nation instead of genuinely advocating the country's economic stability.
He wrote that the negotiations to stave off insolvency became “not only a method of achieving a better deal for Greece. They became a test, a monumental chance to demonstrate the validity of his theories.”
Critical Negotiations
During tense negotiations, the country found itself perilously on the brink of exiting the single currency area.
On the line lay not only Greece's destiny but also those severe cutbacks demanded in return for financial aid from international creditors.
Failed Options
Efforts to secure funds from other sources, such as a desperate plea to Russia to buy Greek bonds, were rejected.
Assisting the indebted country was tantamount to tossing cash in the trash-can, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, those punitive conditions were subjected to a popular referendum, a move which plunged Europe into deeper existential crisis.
Even though the referendum was carried decisively by voters who opposed austerity, the prime minister had little option to ignore the result and negotiate a bailout package with foreign lenders that turned out to be more severe.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“He was the public image of negotiation, the figure who attracted media attention, who graced the covers of publications globally … it seemed he was enjoying his new role.”
When the minister outlined a backup strategy that included creating a parallel currency as well as distributing coupons to pensioners, the leader said he realised that it was game over questioning him: “Is this for real?”
Lasting Rebuke
In the book, the author asserts that Varoufakis demonstrated himself to be “unsuitable for an agreement that required complex and sensitive handling.”
He further wrote that Varoufakis's aggressive approach made him increasingly isolated among peers, put Greece at risk, while helped hawks who were advocating Grexit.
The retelling of history has provoked fury and stunned disbelief among certain groups, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
