Within his newly released personal account, named Ithaki, the former premier Tsipras does not hold back while he examines the turbulent era during Greece's financial crisis.
A Controversial Choice
In the ex-PM's version, Tsipras selected that maverick economist Yanis Varoufakis as the treasury head primarily because of the latter's global profile and Varoufakis's “extremely attractive” abilities as a public orator.
“He was, truthfully, more like a star and less of an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras alleges that Varoufakis had a personal motives which included promoting Varoufakis's books and experimenting with his economic models on Greece rather than genuinely fighting for the country's economic stability.
Tsipras wrote that the discussions to prevent bankruptcy became “not only a method of achieving improved terms for Greece. They became a test, an historic opportunity to demonstrate the truth of his economic theories.”
High-Stakes Talks
During rollercoaster discussions, the country came perilously close to exiting the eurozone.
At stake was not only Greece's future but also the severe austerity policies required in exchange for financial aid by foreign lenders.
Failed Alternatives
Efforts to find financing elsewhere, such as a desperate plea to the Kremlin to purchase Greek bonds, were rejected.
Helping Greece was tantamount to tossing cash into the garbage, Putin reportedly told Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, the excoriating bailout terms were put to a popular referendum, a move that plunged Europe into deeper crisis of identity.
Although the referendum was carried resoundingly by voters who opposed the cuts, the prime minister was forced to reject its outcome and negotiate a bailout package from creditors that turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who attracted publicity, who appeared on the covers of publications the world over … it seemed he was enjoying the spotlight.”
When Varoufakis outlined a contingency plan involving establishing a secondary currency as well as issuing vouchers to retirees, the leader knew that it was game over questioning Varoufakis: “Is this for real?”
Lasting Rebuke
In the book, Tsipras concludes that his former ally demonstrated himself “unsuitable for a deal that required intricate and sensitive management.”
He also wrote that his confrontational approach made him increasingly isolated with colleagues, endangered the country, and assisted hardliners that were advocating a Greek exit from the euro.
The account of events has been met with anger and shock among certain groups, while Varoufakis has maintained a conspicuous quiet regarding these claims.
