Within his freshly published memoir, called Ithaki, the former prime minister Alexis Tsipras pulls no punches while he revisits the chaotic era of Greece's financial crisis.
A Controversial Appointment
As per Tsipras's version, he chose that maverick academic Yanis Varoufakis as the treasury head largely because of the latter's international reputation along with his very persuasive abilities when it came to communicator.
“He was, truthfully, more of a celebrity rather than an economic expert,” recalled the 51-year-old.
Clashing Agendas
Tsipras alleges that his finance chief had his own motives which included advancing Varoufakis's publications as well as experimenting with his economic models using Greece instead of genuinely advocating its financial survival.
He explained how the talks to prevent insolvency were “not only a method to secure improved terms for the country. They became an experiment, a monumental opportunity to demonstrate the truth of his ideas.”
Critical Talks
During rollercoaster discussions, the country found itself dangerously close to leaving the single currency area.
On the line was both the country's destiny but also those punishing austerity measures required in exchange for financial aid from foreign lenders.
Failed Alternatives
Attempts to find funds elsewhere, such as an urgent plea to the Kremlin to buy Greek bonds, went unanswered.
Assisting Greece would be equivalent to tossing cash into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the excoriating conditions were subjected to a popular referendum, a move that plunged the EU into deeper existential crisis.
Although the referendum was carried decisively by voters who opposed the cuts, Tsipras was forced to reject its outcome then negotiate a bailout package with creditors that proved to be even harsher.
Final Straw
Tsipras revealed how he began to doubt Varoufakis quite early on.
“He was the face of negotiation, the figure who attracted media attention, who graced the front pages of magazines globally … he gave the impression he relished his new role.”
After Varoufakis proposed a backup strategy that included creating a secondary currency and distributing coupons to retirees, the leader knew it was game over and asked him: “Are you serious?”
Enduring Criticism
In the memoir, Tsipras asserts how his former ally demonstrated himself to be “unfit for a deal demanding complex and sensitive handling.”
He further wrote that his confrontational style made him more and more alone with colleagues, endangered the country, while assisted hawks that were pushing for Grexit.
This account of history has been met with fury and shock in some quarters, while the former minister has maintained a deafening silence regarding these claims.