In a newly released memoir, named Ithaki, the former leader Tsipras spares no criticism as he revisits the turbulent era during Greece's debt drama.
A Controversial Appointment
In the ex-PM's account, Tsipras chose that unorthodox academic Yanis Varoufakis as the finance minister primarily due to the latter's international reputation and Varoufakis's “extremely attractive” skills as a public orator.
“He was, truthfully, more like a personality and less of an economic expert,” stated the 51-year-old.
Conflicting Priorities
The former leader alleges how his finance chief possessed his own motives that involved advancing his books and experimenting with his own game theories on the nation instead of truly fighting for its economic stability.
Tsipras noted that those negotiations to prevent bankruptcy were “not only a method of achieving a better deal for Greece. They were an experiment, a monumental chance to demonstrate the truth of Varoufakis's economic theories.”
High-Stakes Negotiations
During tense negotiations, Greece came perilously close to exiting the eurozone.
At stake was both the country's future but also those punishing austerity measures demanded in return for rescue loans from foreign lenders.
Unsuccessful Alternatives
Efforts to find funds elsewhere, such as an urgent plea to Russia to purchase Greek bonds, were rejected.
Assisting the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly informed Tsipras during their meeting.
Referendum Followed by Reversal
That summer, those excoriating bailout terms were subjected to a public vote, a move that plunged Europe into further existential crisis.
Even though the referendum was won resoundingly by those who opposed the cuts, Tsipras had little option to reject its outcome and negotiate a bailout package with creditors which turned out to be more severe.
Breaking Point
The ex-PM revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the man who attracted publicity, who graced the covers of magazines globally … he gave the impression he relished his new role.”
When the minister outlined a backup strategy that included creating a secondary currency and distributing coupons to pensioners, the leader knew that it was the end questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
In the memoir, Tsipras concludes that his former ally had proved himself “unfit for a deal that required complex and delicate handling.”
He also wrote how his aggressive approach left him increasingly isolated among peers, put Greece at risk, and helped hardliners who were pushing for a Greek exit from the euro.
This account of events has been met with anger along with shock among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.
