Within his freshly published autobiography, called Ithaki, the former prime minister Tsipras does not hold back while he reflects on that turbulent era during Greece's debt drama.
An Unconventional Appointment
According to Tsipras's recollections, Tsipras chose the unorthodox economist Yanis Varoufakis to be his treasury head primarily because of his worldwide fame along with Varoufakis's highly compelling skills as a speaker.
“He was, in reality, more of a celebrity and less of an economic expert,” wrote the 51-year-old.
Conflicting Priorities
The former leader suggests how Varoufakis had his own agenda that included promoting Varoufakis's books and testing out his game theories using the nation instead of genuinely fighting for its financial survival.
He explained that the negotiations to avoid insolvency became “not only a way of achieving improved terms for the country. They became an experiment, a monumental opportunity to prove the truth of Varoufakis's theories.”
Critical Talks
During rollercoaster negotiations, Greece came dangerously on the brink of exiting the eurozone.
On the line lay not only Greece's destiny and the severe austerity policies demanded in exchange for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, including an urgent plea to Russia to purchase Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to tossing cash into the garbage, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by U-Turn
That summer, the harsh conditions were subjected to a popular referendum, a move which threw Europe into a further existential crisis.
Even though the vote was won resoundingly by those who opposed austerity, the prime minister was forced but to reject its outcome and agree to a rescue deal from foreign lenders which proved to be more severe.
Final Straw
Tsipras revealed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who appeared on the covers of publications globally … he gave the impression he relished his new role.”
After the minister outlined a contingency plan involving creating a secondary currency as well as issuing vouchers to pensioners, the leader said he realised it was the end questioning him: “Is this for real?”
Lasting Criticism
In the memoir, Tsipras concludes how his former ally had proved himself to be “unfit for a deal that required complex and sensitive handling.”
He further wrote that his aggressive approach made him more and more alone among peers, put Greece at risk, and assisted hardliners that were advocating a Greek exit from the euro.
The retelling of history has been met with anger along with shock among certain groups, while Varoufakis has so far maintained a deafening silence on the matter.
