Within his freshly published memoir, titled Ithaki, the former prime minister Tsipras does not hold back as he examines the chaotic period during Greece's financial crisis.
An Unconventional Appointment
As per Tsipras's version, Tsipras selected the unorthodox economist Yanis Varoufakis to be his finance minister primarily due to the latter's worldwide fame along with Varoufakis's highly compelling abilities as a public orator.
“He was, truthfully, more of a personality and less of an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras alleges that Varoufakis possessed his own agenda that included promoting his books and testing out his game theories on the nation rather than genuinely fighting for its financial survival.
He noted that the discussions to prevent insolvency became “not just a way of achieving improved terms for the country. They were a test, an historic opportunity to demonstrate the truth of his theories.”
Critical Negotiations
Amid rollercoaster negotiations, the country came dangerously close to exiting the single currency area.
At stake lay both the country's future but also those punishing austerity measures required in return for rescue loans by international creditors.
Unsuccessful Options
Efforts to find funds elsewhere, including a desperate appeal to the Kremlin to purchase Greek bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash into the garbage, Putin reportedly informed Tsipras during their meeting.
Public Vote Followed by U-Turn
In July 2015, the harsh conditions were subjected to a public vote, an action which threw Europe into deeper existential crisis.
Even though the vote was carried decisively by voters who opposed austerity, Tsipras had little option to ignore the result then negotiate a bailout package with foreign lenders that turned out to be tougher.
Final Straw
Tsipras revealed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who graced the front pages of publications globally … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included establishing a parallel currency as well as issuing vouchers to pensioners, the leader said he realised it was the end and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the memoir, Tsipras asserts that Varoufakis demonstrated himself to be “unsuitable for a deal that required complex and sensitive handling.”
He also wrote how his confrontational approach made him more and more alone among peers, put Greece at risk, while assisted hardliners that were pushing for a Greek exit from the euro.
This retelling of events has been met with anger along with shock in some quarters, while Varoufakis has kept a conspicuous quiet regarding these claims.
