Within his recently unveiled autobiography, named Ithaki, the ex- leader Alexis Tsipras spares no criticism while he examines that chaotic period during Greece's debt drama.
An Unconventional Appointment
In the ex-PM's account, he selected that maverick academic Yanis Varoufakis as his finance minister largely due to the latter's worldwide fame and Varoufakis's highly compelling abilities when it came to communicator.
“He was, actually, more of a celebrity rather than an economist,” recalled the 51-year-old.
Conflicting Agendas
Tsipras alleges how his finance chief possessed a personal agenda which included promoting Varoufakis's publications as well as experimenting with his economic models using the nation rather than truly advocating its financial survival.
Tsipras noted that the negotiations to stave off bankruptcy became “not just a method to secure improved terms for the country. They were an experiment, an historic opportunity to prove the validity of Varoufakis's ideas.”
High-Stakes Talks
Amid volatile discussions, Greece came dangerously close to leaving the single currency area.
At stake lay both the country's future but also the harsh austerity measures demanded in return for bailout funds by foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, including a desperate appeal to Russia to buy Greek government bonds, were rejected.
Helping the indebted country was tantamount to tossing cash into the garbage, Putin is reputed to have informed his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
In July 2015, those excoriating conditions were subjected to a popular referendum, a move which threw the EU into deeper existential crisis.
Even though the referendum was carried resoundingly by voters against austerity, Tsipras had little option but to reject its outcome and agree to a bailout package with creditors which turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning his finance minister quite early on.
“He was the public image of negotiation, the figure who drew publicity, who graced the covers of magazines globally … he gave the impression he was enjoying his new role.”
When Varoufakis proposed a contingency plan that included creating a secondary currency as well as issuing vouchers to retirees, the leader said he realised that it was game over questioning Varoufakis: “Are you serious?”
Lasting Rebuke
In the book, Tsipras concludes how his former ally demonstrated himself “unfit for an agreement that required complex and sensitive handling.”
Tsipras also wrote that his aggressive approach made him increasingly isolated among peers, put Greece at risk, while assisted hardliners that were pushing for Grexit.
This retelling of history has provoked fury and stunned disbelief in some quarters, whereas Varoufakis has maintained a deafening silence regarding these claims.
