Within his freshly published memoir, called Ithaki, the former prime minister Alexis Tsipras pulls no punches as he reflects on the chaotic period of Greece's debt drama.
A Controversial Choice
As per Tsipras's account, he selected that maverick academic Yanis Varoufakis to be his treasury head mainly because of his global profile and his highly compelling skills when it came to communicator.
“In reality, he was, truthfully, more of a star and less of an economic expert,” wrote the 51-year-old.
Conflicting Priorities
The former leader alleges how Varoufakis had a personal motives which included promoting his books as well as testing out his theories using Greece rather than truly fighting for the country's financial survival.
He explained that those negotiations to prevent bankruptcy became “not just a method to secure a better deal for the country. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's theories.”
High-Stakes Talks
During volatile negotiations, the country came perilously close to leaving the single currency area.
At stake was not only the country's destiny but also the severe austerity measures required in exchange for bailout funds by international creditors.
Failed Alternatives
Attempts to secure financing from other sources, such as a desperate plea to Russia to buy Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, the punitive bailout terms were subjected to a popular referendum, an action that threw the EU into further existential crisis.
Although the vote was carried decisively by voters who opposed austerity, the prime minister had little option to ignore the result and agree to a bailout package with foreign lenders which turned out to be tougher.
Breaking Point
The ex-PM claimed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who appeared on the covers of magazines the world over … he gave the impression he relished the spotlight.”
After Varoufakis proposed a backup strategy that included creating a parallel currency as well as issuing coupons to retirees, the leader knew that it was game over and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
In the book, Tsipras asserts that Varoufakis had proved himself to be “unsuitable for an agreement that required intricate and delicate handling.”
He also wrote how his confrontational style made him more and more alone with colleagues, put Greece at risk, and assisted hardliners who were pushing for Grexit.
The account of events has provoked anger and stunned disbelief in some quarters, whereas the former minister has so far kept a conspicuous quiet on the matter.