🔗 Share this article

Within his recently unveiled memoir, called Ithaki, the former premier Alexis Tsipras does not hold back as he revisits that turbulent period of Greece's financial crisis.

An Unconventional Choice

As per the ex-PM's account, he appointed the maverick academic Yanis Varoufakis to be the treasury head largely because of the latter's international reputation and his highly compelling skills when it came to speaker.

“In reality, he was, in reality, more of a celebrity rather than an economic expert,” stated Tsipras.

Clashing Priorities

The former leader suggests that his finance chief possessed his own agenda that included advancing his publications as well as testing out his own economic models using Greece instead of truly fighting for the country's financial survival.

Tsipras explained how the negotiations to avoid insolvency became “not just a way to secure improved terms for Greece. They became an experiment, an historic opportunity to prove the truth of his economic theories.”

High-Stakes Talks

Amid tense negotiations, the country came perilously close to exiting the single currency area.

On the line lay both the country's future but also the severe cutbacks demanded in return for rescue loans by international creditors.

Failed Options

Efforts to secure funds from other sources, such as an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.

Assisting the indebted country would be tantamount to tossing cash in the trash-can, Putin is reputed to have informed Tsipras during their meeting.

Public Vote Followed by Reversal

That summer, those punitive conditions were put to a public vote, an action that plunged Europe into a further crisis of identity.

Although the vote was carried decisively by voters against the cuts, Tsipras was forced but to reject its outcome and agree to a bailout package from creditors which turned out to be tougher.

Breaking Point

Tsipras revealed how he began to doubt his finance minister relatively soon.

“He was the face of the talks, the figure who attracted publicity, who graced the covers of magazines globally … it seemed he relished his new role.”

After the minister outlined a contingency plan that included creating a parallel currency as well as distributing vouchers to retirees, the leader knew it was game over and asked Varoufakis: “Is this for real?”

Enduring Rebuke

In the book, the author asserts how Varoufakis had proved himself “unfit for a deal that required complex and sensitive handling.”

He further claimed how his confrontational style made him increasingly isolated among peers, put Greece at risk, and assisted hardliners that were pushing for Grexit.

The retelling of history has provoked anger along with shock in some quarters, while Varoufakis has kept a conspicuous quiet on the matter.