Within his newly released memoir, titled Ithaki, the ex- leader Tsipras pulls no punches as he reflects on the turbulent era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's recollections, he chose the unorthodox economist Varoufakis as his treasury head largely because of his global profile and Varoufakis's very persuasive skills when it came to speaker.
“He was, truthfully, more like a star and less of an economic expert,” wrote Tsipras.
Conflicting Agendas
Tsipras alleges how Varoufakis possessed his own agenda which involved advancing his publications and testing out his own game theories on Greece rather than truly advocating its economic stability.
He explained that the talks to prevent bankruptcy became “not only a method of achieving a better deal for the country. They became a test, an historic opportunity to demonstrate the validity of his ideas.”
High-Stakes Negotiations
During volatile negotiations, the country came dangerously on the brink of exiting the single currency area.
On the line was both Greece's future but also those punishing austerity policies demanded in exchange for financial aid by foreign lenders.
Failed Options
Attempts to secure financing from other sources, such as a desperate appeal to Russia to purchase Greek government bonds, were rejected.
Assisting Greece would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart during their meeting.
Referendum and U-Turn
In July 2015, the punitive bailout terms were subjected to a public vote, an action which threw the EU into a deeper crisis of identity.
Even though the referendum was carried resoundingly by those against the cuts, the prime minister was forced to ignore the result and agree to a rescue deal from creditors that turned out to be even harsher.
Final Straw
The ex-PM revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who graced the front pages of publications globally … he gave the impression he was enjoying the spotlight.”
When the minister outlined a backup strategy that included creating a secondary currency as well as issuing vouchers to pensioners, the leader knew it was the end and asked him: “Can you be serious?”
Enduring Rebuke
Within the book, the author concludes that his former ally demonstrated himself “unsuitable for an agreement that required complex and delicate handling.”
He further claimed how his confrontational approach left him increasingly isolated among peers, endangered the country, while assisted hawks who were pushing for a Greek exit from the euro.
This account of events has been met with anger along with stunned disbelief in some quarters, whereas the former minister has maintained a deafening silence regarding these claims.
