Within his recently unveiled memoir, called Ithaki, the ex- premier Alexis Tsipras pulls no punches while he revisits that chaotic era during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's account, he chose the unorthodox economist Yanis Varoufakis as the finance minister mainly due to the latter's worldwide fame and Varoufakis's very persuasive abilities when it came to speaker.
“He was, in reality, more of a personality and less of an economic expert,” recalled the 51-year-old.
Clashing Priorities
Tsipras alleges how Varoufakis possessed his own agenda which involved advancing his books and experimenting with his game theories using Greece rather than genuinely advocating its economic stability.
He wrote how the discussions to avoid bankruptcy were “not only a way of achieving improved terms for Greece. They became an experiment, an historic chance to demonstrate the validity of his economic theories.”
High-Stakes Talks
Amid volatile discussions, Greece came perilously close to exiting the eurozone.
On the line lay not only Greece's future and the punishing cutbacks required in return for bailout funds by international creditors.
Unsuccessful Alternatives
Efforts to find funds elsewhere, including a desperate appeal to the Kremlin to buy Greek government bonds, were rejected.
Assisting the indebted country was tantamount to throwing money into the garbage, Putin is reputed to have told Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were put to a popular referendum, a move that threw the EU into a deeper existential crisis.
Although the referendum was carried decisively by voters against austerity, the prime minister was forced but to ignore the result then agree to a bailout package with creditors which turned out to be even harsher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the man who drew media attention, who graced the covers of publications the world over … he gave the impression he relished the spotlight.”
When the minister proposed a backup strategy involving establishing a parallel currency as well as issuing vouchers to pensioners, Tsipras knew that it was game over and asked him: “Is this for real?”
Enduring Criticism
In the memoir, the author asserts how Varoufakis had proved himself to be “unfit for an agreement that required intricate and delicate management.”
He also claimed how Varoufakis's aggressive approach left him increasingly isolated with colleagues, endangered the country, while assisted hardliners who were pushing for Grexit.
The account of events has been met with anger and shock among certain groups, while Varoufakis has so far kept a deafening silence regarding these claims.
