In a recently unveiled memoir, named Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he reflects on that turbulent period of Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's version, Tsipras selected that unorthodox academic Yanis Varoufakis as the finance minister largely due to his global profile and his very persuasive skills as a speaker.
“In reality, he was, actually, more like a celebrity and less of an economist,” wrote Tsipras.
Clashing Agendas
Tsipras alleges that Varoufakis had a personal agenda that included advancing Varoufakis's publications as well as testing out his own game theories on Greece instead of genuinely advocating the country's economic stability.
He wrote that those negotiations to prevent insolvency were “not only a method to secure a better deal for the country. They were an experiment, a monumental chance to demonstrate the validity of his economic theories.”
Critical Negotiations
During volatile negotiations, the country came perilously on the brink of leaving the single currency area.
At stake was both the country's destiny and the harsh austerity measures demanded in exchange for financial aid from foreign lenders.
Failed Options
Attempts to secure financing from other sources, including an urgent appeal to Russia to buy Greek government bonds, fell on stony ground.
Helping the indebted country would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have told Tsipras during their meeting.
Public Vote Followed by Reversal
In July 2015, those excoriating conditions were put to a popular referendum, an action which plunged Europe into deeper crisis of identity.
Although the vote was carried resoundingly by voters who opposed austerity, Tsipras had little option but to reject its outcome then negotiate a bailout package from creditors which turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the figure who drew publicity, who appeared on the front pages of magazines the world over … it seemed he was enjoying his new role.”
When Varoufakis outlined a backup strategy involving creating a secondary currency as well as issuing coupons to pensioners, Tsipras knew that it was game over and asked him: “Is this for real?”
Lasting Rebuke
In the book, Tsipras asserts that Varoufakis had proved himself to be “unsuitable for an agreement that required complex and delicate handling.”
Tsipras also wrote that his confrontational approach left him more and more alone among peers, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
This retelling of events has provoked anger and stunned disbelief in some quarters, while the former minister has maintained a deafening silence regarding these claims.
