Within his recently unveiled personal account, called Ithaki, the ex- premier Alexis Tsipras does not hold back while he examines that chaotic era of Greece's debt drama.
A Controversial Choice
As per Tsipras's account, he chose the maverick academic Yanis Varoufakis as the treasury head primarily due to the latter's global profile and his “extremely attractive” skills as a communicator.
“He was, truthfully, more like a personality rather than an economist,” recalled Tsipras.
Conflicting Priorities
Tsipras alleges how Varoufakis had his own agenda which involved promoting his books and experimenting with his economic models using the nation rather than genuinely advocating its economic stability.
He noted how the discussions to prevent insolvency became “not only a way of achieving improved terms for the country. They became a test, an historic opportunity to prove the truth of his economic theories.”
High-Stakes Talks
During rollercoaster negotiations, Greece came dangerously on the brink of leaving the single currency area.
At stake lay both Greece's destiny and the harsh austerity policies demanded in return for bailout funds from foreign lenders.
Failed Options
Attempts to find financing from other sources, such as a desperate appeal to Russia to purchase Greek bonds, were rejected.
Helping Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, the harsh conditions were subjected to a popular referendum, an action that plunged the EU into a deeper crisis of identity.
Although the vote was carried resoundingly by those who opposed the cuts, the prime minister had little option but to ignore the result and agree to a bailout package from foreign lenders which proved to be more severe.
Breaking Point
The ex-PM claimed how he began to doubt his finance minister relatively soon.
“He was the face of negotiation, the figure who drew publicity, who appeared on the front pages of magazines the world over … he gave the impression he was enjoying the spotlight.”
After Varoufakis proposed a backup strategy that included creating a parallel currency and distributing vouchers to retirees, the leader knew that it was the end and asked him: “Is this for real?”
Enduring Rebuke
In the memoir, the author concludes that his former ally had proved himself “unfit for an agreement demanding complex and sensitive management.”
He further wrote that Varoufakis's aggressive style made him more and more alone with colleagues, put Greece at risk, while helped hawks that were advocating a Greek exit from the euro.
This retelling of events has been met with anger and stunned disbelief among certain groups, whereas the former minister has so far kept a deafening silence regarding these claims.
