Within his recently unveiled autobiography, named Ithaki, the former leader Alexis Tsipras pulls no punches as he examines the turbulent era during Greece's financial crisis.
A Controversial Appointment
In the ex-PM's account, he chose the unorthodox academic Yanis Varoufakis to be the treasury head mainly due to the latter's global profile and his highly compelling skills as a communicator.
“In reality, he was, in reality, more like a personality and less of an economist,” recalled Tsipras.
Conflicting Priorities
The former leader claims that his finance chief had his own agenda which included promoting his publications and testing out his own theories on the nation rather than truly advocating the country's financial survival.
He wrote how those negotiations to stave off insolvency became “not just a method to secure a better deal for Greece. They were a test, a monumental opportunity to prove the validity of his ideas.”
Critical Negotiations
During rollercoaster discussions, the country came dangerously on the brink of exiting the single currency area.
At stake was both the country's destiny and those punishing cutbacks required in return for rescue loans from international creditors.
Unsuccessful Alternatives
Attempts to secure financing elsewhere, including a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly told his Greek counterpart in Moscow.
Referendum and Reversal
That summer, the excoriating bailout terms were subjected to a popular referendum, a move which threw Europe into further existential crisis.
Although the referendum was carried decisively by voters who opposed austerity, Tsipras had little option to ignore the result and agree to a rescue deal with foreign lenders which turned out to be more severe.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who graced the covers of publications the world over … he gave the impression he relished the spotlight.”
When Varoufakis proposed a contingency plan involving creating a secondary currency as well as issuing vouchers to pensioners, the leader said he realised it was game over questioning him: “Are you serious?”
Lasting Criticism
Within the book, the author asserts how his former ally demonstrated himself “unsuitable for a deal that required intricate and sensitive management.”
Tsipras further claimed that his aggressive approach left him more and more alone among peers, put Greece at risk, and helped hardliners who were advocating Grexit.
This retelling of events has been met with anger along with stunned disbelief in some quarters, whereas Varoufakis has kept a deafening silence regarding these claims.
