In a newly released memoir, called Ithaki, the ex- prime minister Tsipras pulls no punches while he reflects on the chaotic era of Greece's financial crisis.
An Unconventional Choice
As per Tsipras's version, Tsipras selected that maverick economist Varoufakis as his finance minister primarily due to his global profile and his highly compelling skills when it came to speaker.
“In reality, he was, truthfully, more like a celebrity rather than an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader suggests that his finance chief had his own motives which included promoting his books as well as experimenting with his economic models using Greece instead of genuinely advocating its financial survival.
Tsipras wrote how those negotiations to stave off insolvency became “not only a way of achieving improved terms for the country. They became an experiment, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
During tense negotiations, Greece came perilously close to exiting the single currency area.
At stake was not only the country's future and the severe cutbacks required in return for financial aid by foreign lenders.
Unsuccessful Alternatives
Attempts to secure financing elsewhere, including a desperate plea to the Kremlin to purchase Greek government bonds, were rejected.
Assisting the indebted country was tantamount to throwing money in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
In July 2015, the punitive bailout terms were put to a popular referendum, an action that threw Europe into a deeper crisis of identity.
Even though the vote was carried resoundingly by those against the cuts, Tsipras was forced but to ignore the result and negotiate a bailout package from foreign lenders which proved to be tougher.
Breaking Point
Tsipras claimed how he began to doubt his finance minister relatively soon.
“He was the public image of the talks, the figure who drew publicity, who appeared on the covers of magazines the world over … he gave the impression he relished his new role.”
After the minister proposed a backup strategy involving creating a secondary currency and distributing vouchers to retirees, the leader knew that it was the end questioning Varoufakis: “Are you serious?”
Enduring Rebuke
Within the memoir, the author concludes how his former ally demonstrated himself “unsuitable for a deal that required intricate and delicate management.”
Tsipras further claimed that his aggressive approach left him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners that were advocating a Greek exit from the euro.
This retelling of events has been met with anger along with stunned disbelief in some quarters, whereas Varoufakis has kept a conspicuous quiet on the matter.
