Within his newly released autobiography, titled Ithaki, the former leader Alexis Tsipras does not hold back as he examines that chaotic period of Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's recollections, he appointed that maverick academic Yanis Varoufakis as the finance minister largely because of his worldwide fame along with his “extremely attractive” skills as a public orator.
“He was, truthfully, more of a star rather than an economist,” recalled the 51-year-old.
Clashing Agendas
The former leader alleges that Varoufakis possessed his own motives which included promoting Varoufakis's publications and testing out his own theories on Greece instead of genuinely fighting for its financial survival.
He wrote that the discussions to prevent insolvency were “not only a way of achieving a better deal for Greece. They were a test, a monumental opportunity to demonstrate the validity of his theories.”
Critical Talks
During rollercoaster negotiations, Greece found itself perilously on the brink of exiting the eurozone.
On the line was not only Greece's destiny but also the severe austerity measures demanded in exchange for bailout funds from foreign lenders.
Failed Alternatives
Efforts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek government bonds, were rejected.
Assisting Greece would be tantamount to throwing money in the trash-can, Putin reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, those harsh bailout terms were subjected to a popular referendum, an action which threw Europe into deeper crisis of identity.
Even though the referendum was carried decisively by voters who opposed the cuts, Tsipras had little option but to reject its outcome and agree to a bailout package with foreign lenders that turned out to be tougher.
Breaking Point
Tsipras revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who attracted publicity, who graced the covers of publications globally … it seemed he was enjoying the spotlight.”
After the minister proposed a contingency plan that included creating a secondary currency as well as issuing vouchers to retirees, the leader said he realised it was the end questioning Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras asserts how his former ally demonstrated himself “unfit for a deal that required complex and delicate handling.”
He also claimed that Varoufakis's confrontational approach left him more and more alone with colleagues, endangered the country, and helped hardliners who were advocating Grexit.
The retelling of events has provoked anger along with shock among certain groups, while the former minister has so far maintained a conspicuous quiet regarding these claims.
