In a freshly published personal account, named Ithaki, the ex- premier Tsipras pulls no punches as he reflects on that chaotic era of Greece's debt drama.
An Unconventional Choice
According to the ex-PM's version, he appointed that unorthodox academic Yanis Varoufakis as the treasury head primarily because of the latter's worldwide fame along with Varoufakis's very persuasive abilities as a communicator.
“In reality, he was, actually, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras suggests that his finance chief had his own motives that included promoting his books as well as experimenting with his own game theories using the nation instead of truly advocating its financial survival.
Tsipras wrote how the discussions to avoid bankruptcy became “not only a method to secure a better deal for the country. They became a test, an historic opportunity to prove the truth of his ideas.”
High-Stakes Negotiations
Amid tense negotiations, Greece came dangerously close to leaving the single currency area.
On the line lay not only Greece's destiny and those severe cutbacks required in exchange for financial aid from foreign lenders.
Unsuccessful Options
Attempts to secure funds from other sources, such as an urgent plea to Russia to buy Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to tossing cash in the trash-can, the Russian leader reportedly told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
That summer, the harsh conditions were subjected to a popular referendum, an action that plunged Europe into a further existential crisis.
Although the vote was won decisively by those who opposed the cuts, Tsipras was forced to ignore the result then agree to a bailout package from foreign lenders which proved to be more severe.
Final Straw
Tsipras revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the face of negotiation, the man who attracted media attention, who graced the front pages of magazines globally … he gave the impression he was enjoying his new role.”
After the minister proposed a contingency plan involving creating a secondary currency as well as issuing vouchers to retirees, Tsipras knew it was the end questioning Varoufakis: “Are you serious?”
Lasting Rebuke
Within the book, Tsipras asserts how his former ally had proved himself to be “unfit for a deal that required intricate and sensitive handling.”
He further wrote that his confrontational approach made him increasingly isolated among peers, put Greece at risk, while helped hardliners that were advocating Grexit.
The retelling of events has been met with anger and stunned disbelief in some quarters, whereas the former minister has maintained a deafening silence on the matter.
