Within his recently unveiled memoir, called Ithaki, the former leader Alexis Tsipras spares no criticism as he examines that turbulent era during Greece's debt drama.
An Unconventional Choice
According to the ex-PM's version, Tsipras selected the maverick academic Yanis Varoufakis as the treasury head largely due to his international reputation and Varoufakis's highly compelling abilities as a communicator.
“He was, truthfully, more of a personality and less of an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader claims that Varoufakis had a personal agenda which involved advancing Varoufakis's publications and experimenting with his own game theories using the nation rather than truly advocating its economic stability.
He explained that the talks to prevent insolvency became “not just a way to secure a better deal for Greece. They were a test, an historic chance to prove the truth of his economic theories.”
High-Stakes Negotiations
During rollercoaster discussions, the country came dangerously on the brink of leaving the single currency area.
At stake lay not only Greece's future but also those severe austerity measures demanded in return for rescue loans from foreign lenders.
Unsuccessful Alternatives
Efforts to find funds elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country was tantamount to throwing money into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Referendum and U-Turn
That summer, the harsh conditions were subjected to a public vote, a move which threw Europe into a deeper crisis of identity.
Even though the referendum was won resoundingly by those who opposed the cuts, the prime minister had little option but to reject its outcome and negotiate a rescue deal from foreign lenders which proved to be more severe.
Final Straw
Tsipras revealed how he started questioning Varoufakis relatively soon.
“He was the public image of the talks, the man who attracted publicity, who graced the covers of magazines the world over … he gave the impression he relished the spotlight.”
After the minister outlined a contingency plan involving creating a parallel currency as well as distributing coupons to retirees, the leader said he realised it was the end and asked Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras concludes how Varoufakis demonstrated himself to be “unsuitable for a deal demanding intricate and delicate management.”
Tsipras further wrote that Varoufakis's confrontational style left him more and more alone among peers, put Greece at risk, and helped hardliners who were advocating a Greek exit from the euro.
The retelling of history has provoked fury and stunned disbelief in some quarters, while Varoufakis has so far maintained a deafening silence on the matter.
