In a freshly published autobiography, called Ithaki, the ex- premier Alexis Tsipras spares no criticism as he reflects on that chaotic period of Greece's debt drama.
An Unconventional Appointment
As per Tsipras's account, he chose that unorthodox academic Yanis Varoufakis as his treasury head mainly because of his international reputation along with his “extremely attractive” abilities as a public orator.
“He was, truthfully, more of a celebrity rather than an economist,” stated the 51-year-old.
Clashing Agendas
The former leader suggests that Varoufakis possessed his own agenda that included promoting his publications and testing out his theories using Greece rather than genuinely fighting for its economic stability.
He explained that the negotiations to avoid bankruptcy were “not just a way of achieving a better deal for Greece. They became a test, a monumental opportunity to demonstrate the truth of Varoufakis's theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, the country came perilously on the brink of leaving the eurozone.
At stake was both Greece's destiny but also the harsh austerity policies demanded in return for financial aid by foreign lenders.
Unsuccessful Alternatives
Efforts to find funds from other sources, such as a desperate appeal to the Kremlin to purchase Greek bonds, went unanswered.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Referendum and U-Turn
That summer, the harsh conditions were subjected to a popular referendum, an action which plunged the EU into a deeper crisis of identity.
Even though the vote was won resoundingly by those who opposed austerity, Tsipras was forced but to reject its outcome and negotiate a rescue deal with creditors that turned out to be more severe.
Final Straw
The ex-PM revealed how he started questioning Varoufakis relatively soon.
“He was the face of negotiation, the figure who drew publicity, who graced the covers of publications globally … it seemed he was enjoying his new role.”
When Varoufakis outlined a contingency plan involving establishing a parallel currency as well as issuing vouchers to pensioners, Tsipras knew it was game over questioning him: “Are you serious?”
Lasting Criticism
In the book, the author concludes that Varoufakis demonstrated himself “unsuitable for an agreement that required complex and sensitive management.”
Tsipras also wrote how Varoufakis's aggressive approach made him increasingly isolated with colleagues, endangered the country, while helped hardliners who were pushing for Grexit.
The retelling of events has provoked fury and stunned disbelief in some quarters, whereas Varoufakis has kept a deafening silence regarding these claims.
