In a freshly published memoir, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he revisits that turbulent period of Greece's financial crisis.
An Unconventional Choice
As per Tsipras's account, he selected the maverick economist Yanis Varoufakis to be the finance minister largely because of the latter's worldwide fame along with his highly compelling skills when it came to speaker.
“In reality, he was, truthfully, more of a celebrity rather than an economic expert,” stated Tsipras.
Clashing Priorities
Tsipras suggests that Varoufakis had his own motives which included promoting Varoufakis's books as well as testing out his own economic models on the nation instead of genuinely advocating its financial survival.
Tsipras noted how the negotiations to stave off bankruptcy were “not only a way to secure improved terms for the country. They were a test, an historic opportunity to demonstrate the truth of his economic theories.”
High-Stakes Negotiations
During volatile discussions, Greece came dangerously on the brink of exiting the eurozone.
On the line lay not only Greece's future but also those severe cutbacks required in return for financial aid from foreign lenders.
Unsuccessful Alternatives
Attempts to find financing elsewhere, including a desperate plea to the Kremlin to buy Greek bonds, fell on stony ground.
Assisting Greece would be tantamount to tossing cash in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Public Vote Followed by Reversal
That summer, the harsh bailout terms were subjected to a public vote, a move that plunged Europe into further crisis of identity.
Even though the vote was won decisively by those against austerity, Tsipras was forced to reject its outcome and agree to a bailout package with creditors which proved to be tougher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who attracted media attention, who appeared on the covers of magazines globally … it seemed he relished his new role.”
When the minister proposed a contingency plan involving creating a parallel currency and distributing vouchers to pensioners, Tsipras said he realised that it was game over questioning him: “Is this for real?”
Enduring Criticism
Within the book, the author concludes that Varoufakis demonstrated himself “unsuitable for a deal that required complex and sensitive handling.”
He also wrote how his aggressive style made him more and more alone among peers, endangered the country, while assisted hardliners who were pushing for Grexit.
This account of history has provoked anger along with shock among certain groups, while the former minister has so far kept a conspicuous quiet on the matter.
