In a newly released personal account, called Ithaki, the ex- premier Alexis Tsipras pulls no punches as he reflects on the turbulent era of Greece's debt drama.
A Controversial Choice
As per Tsipras's version, he appointed that unorthodox economist Yanis Varoufakis as the treasury head largely because of the latter's global profile and his highly compelling abilities as a speaker.
“He was, truthfully, more like a personality and less of an economic expert,” wrote Tsipras.
Clashing Agendas
The former leader suggests how his finance chief possessed his own agenda that involved promoting his books as well as testing out his own game theories on Greece rather than truly fighting for the country's economic stability.
He wrote how the talks to stave off insolvency became “not just a method of achieving a better deal for Greece. They became an experiment, an historic opportunity to prove the truth of his theories.”
Critical Negotiations
During rollercoaster negotiations, the country came perilously on the brink of leaving the single currency area.
On the line was both Greece's destiny and the harsh austerity policies required in return for rescue loans from international creditors.
Unsuccessful Options
Attempts to find funds elsewhere, including an urgent appeal to Russia to purchase Greek bonds, were rejected.
Assisting Greece would be tantamount to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras in Moscow.
Referendum and Reversal
That summer, the harsh bailout terms were put to a popular referendum, an action which threw Europe into a deeper crisis of identity.
Even though the vote was won decisively by voters who opposed the cuts, the prime minister had little option to reject its outcome and negotiate a bailout package with creditors which proved to be even harsher.
Final Straw
The ex-PM revealed that he began to doubt his finance minister quite early on.
“He was the face of negotiation, the figure who drew media attention, who appeared on the covers of publications globally … he gave the impression he was enjoying the spotlight.”
When the minister proposed a contingency plan involving creating a parallel currency as well as distributing coupons to pensioners, Tsipras knew it was game over questioning him: “Can you be serious?”
Lasting Criticism
In the memoir, the author asserts that Varoufakis demonstrated himself “unfit for a deal demanding complex and sensitive handling.”
He further wrote that his confrontational style left him increasingly isolated among peers, endangered the country, while helped hardliners who were pushing for Grexit.
This retelling of history has provoked fury and stunned disbelief in some quarters, whereas Varoufakis has maintained a conspicuous quiet on the matter.
