Within his freshly published personal account, named Ithaki, the former premier Tsipras pulls no punches as he examines that chaotic era of Greece's economic turmoil.
A Controversial Choice
As per the ex-PM's version, Tsipras chose the maverick economist Yanis Varoufakis as his finance minister largely because of the latter's worldwide fame and his very persuasive abilities when it came to communicator.
“He was, actually, more like a celebrity and less of an economic expert,” stated the 51-year-old.
Conflicting Agendas
The former leader claims that his finance chief had his own motives which included promoting his publications and testing out his own economic models on Greece rather than truly advocating the country's economic stability.
Tsipras explained that those talks to prevent bankruptcy became “not only a method to secure improved terms for the country. They were a test, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During volatile negotiations, Greece found itself dangerously close to leaving the single currency area.
On the line lay both Greece's future but also the severe cutbacks required in exchange for financial aid by international creditors.
Unsuccessful Options
Efforts to secure financing elsewhere, such as a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Helping Greece would be equivalent to throwing money into the garbage, Putin is reputed to have told Tsipras in Moscow.
Referendum and Reversal
That summer, those excoriating conditions were subjected to a popular referendum, an action that threw the EU into further existential crisis.
Although the vote was won resoundingly by voters against the cuts, Tsipras was forced but to reject its outcome then agree to a rescue deal from creditors that turned out to be more severe.
Breaking Point
Tsipras claimed how he began to doubt Varoufakis relatively soon.
“He was the public image of negotiation, the figure who attracted publicity, who graced the covers of publications globally … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy that included creating a parallel currency and distributing vouchers to pensioners, the leader knew that it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
Within the book, the author concludes how Varoufakis had proved himself “unsuitable for a deal demanding intricate and delicate handling.”
Tsipras further wrote how his confrontational approach left him more and more alone with colleagues, endangered the country, and assisted hawks who were pushing for a Greek exit from the euro.
The retelling of history has been met with fury along with shock in some quarters, while the former minister has so far maintained a deafening silence regarding these claims.
