Within his freshly published memoir, named Ithaki, the former prime minister Tsipras pulls no punches as he examines the chaotic period during Greece's financial crisis.
A Controversial Choice
According to the ex-PM's recollections, he appointed that unorthodox economist Yanis Varoufakis to be the treasury head mainly due to his global profile along with Varoufakis's very persuasive abilities as a speaker.
“He was, truthfully, more like a celebrity rather than an economist,” wrote Tsipras.
Clashing Priorities
Tsipras alleges that Varoufakis had his own agenda which involved advancing Varoufakis's publications as well as experimenting with his game theories on Greece rather than genuinely advocating the country's economic stability.
Tsipras explained that the negotiations to avoid bankruptcy became “not only a method to secure improved terms for Greece. They were a test, a monumental chance to prove the validity of his economic theories.”
High-Stakes Talks
During tense negotiations, the country found itself perilously on the brink of leaving the eurozone.
On the line lay not only Greece's destiny but also the punishing austerity policies demanded in exchange for financial aid from international creditors.
Failed Options
Efforts to secure funds from other sources, such as a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to tossing cash into the garbage, the Russian leader reportedly told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
That summer, those excoriating bailout terms were put to a public vote, an action which plunged the EU into a deeper crisis of identity.
Although the vote was won resoundingly by those against austerity, the prime minister was forced to reject its outcome and negotiate a rescue deal with foreign lenders which proved to be more severe.
Breaking Point
The ex-PM revealed how he started questioning Varoufakis quite early on.
“Varoufakis was the face of negotiation, the man who drew publicity, who appeared on the covers of magazines the world over … it seemed he relished his new role.”
When Varoufakis proposed a backup strategy that included creating a secondary currency as well as issuing vouchers to pensioners, the leader knew that it was game over questioning him: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras concludes how his former ally demonstrated himself to be “unfit for an agreement demanding intricate and sensitive management.”
Tsipras also claimed that Varoufakis's aggressive style left him more and more alone among peers, put Greece at risk, and helped hawks that were pushing for Grexit.
This account of history has been met with anger and stunned disbelief among certain groups, while the former minister has so far maintained a deafening silence regarding these claims.
