In a recently unveiled memoir, titled Ithaki, the ex- prime minister Alexis Tsipras does not hold back as he examines the chaotic era during Greece's debt drama.
An Unconventional Appointment
According to Tsipras's recollections, he selected the maverick academic Yanis Varoufakis to be the treasury head primarily due to the latter's global profile along with Varoufakis's highly compelling skills as a public orator.
“He was, truthfully, more like a personality rather than an economist,” wrote Tsipras.
Conflicting Priorities
The former leader alleges how his finance chief had his own agenda which included advancing his publications and experimenting with his economic models on the nation rather than genuinely advocating the country's financial survival.
Tsipras wrote that the negotiations to avoid insolvency were “not only a method of achieving a better deal for the country. They were a test, a monumental opportunity to prove the validity of Varoufakis's economic theories.”
High-Stakes Talks
During tense negotiations, the country came perilously close to exiting the eurozone.
At stake lay not only the country's future and those punishing cutbacks demanded in exchange for bailout funds from international creditors.
Unsuccessful Alternatives
Attempts to secure funds elsewhere, including a desperate plea to Russia to buy Greek bonds, went unanswered.
Helping the indebted country was tantamount to throwing money into the garbage, the Russian leader reportedly told Tsipras during their meeting.
Referendum and U-Turn
In July 2015, those harsh bailout terms were put to a public vote, an action which threw the EU into a deeper existential crisis.
Although the referendum was won resoundingly by voters who opposed the cuts, the prime minister had little option to reject its outcome and agree to a rescue deal with foreign lenders that proved to be even harsher.
Breaking Point
Tsipras revealed how he started questioning his finance minister quite early on.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who graced the front pages of publications globally … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a contingency plan that included creating a secondary currency and issuing vouchers to retirees, Tsipras knew that it was game over questioning Varoufakis: “Is this for real?”
Lasting Rebuke
Within the memoir, the author asserts that his former ally demonstrated himself “unsuitable for an agreement demanding complex and sensitive management.”
He further claimed that his confrontational approach made him more and more alone among peers, put Greece at risk, and helped hardliners that were advocating Grexit.
The retelling of history has been met with fury and shock among certain groups, whereas Varoufakis has maintained a conspicuous quiet on the matter.
