🔗 Share this article

In a recently unveiled personal account, named Ithaki, the former prime minister Tsipras spares no criticism as he reflects on that turbulent period of Greece's economic turmoil.

An Unconventional Appointment

In Tsipras's version, he appointed the maverick economist Yanis Varoufakis to be the treasury head primarily because of his international reputation and his highly compelling abilities as a communicator.

“In reality, he was, truthfully, more of a star and less of an economic expert,” wrote Tsipras.

Conflicting Agendas

The former leader alleges how his finance chief possessed a personal motives which involved promoting Varoufakis's books and testing out his own theories using the nation rather than truly fighting for the country's financial survival.

He explained that those negotiations to avoid insolvency were “not just a method of achieving a better deal for Greece. They were an experiment, a monumental chance to demonstrate the validity of his economic theories.”

High-Stakes Negotiations

Amid tense discussions, the country came perilously on the brink of leaving the eurozone.

On the line was both Greece's future but also the harsh austerity policies required in return for rescue loans by foreign lenders.

Unsuccessful Alternatives

Attempts to find financing elsewhere, such as a desperate appeal to Russia to purchase Greek government bonds, fell on stony ground.

Helping the indebted country would be tantamount to tossing cash into the garbage, Putin is reputed to have informed Tsipras in Moscow.

Public Vote Followed by U-Turn

That summer, the punitive bailout terms were put to a popular referendum, an action which plunged Europe into further existential crisis.

Although the referendum was carried decisively by those against austerity, Tsipras had little option but to reject its outcome and agree to a bailout package from foreign lenders which turned out to be tougher.

Final Straw

Tsipras claimed how he began to doubt his finance minister quite early on.

“He was the face of negotiation, the man who drew media attention, who graced the front pages of magazines globally … he gave the impression he was enjoying his new role.”

After Varoufakis outlined a contingency plan involving establishing a secondary currency as well as distributing coupons to retirees, the leader said he realised that it was game over questioning Varoufakis: “Are you serious?”

Enduring Rebuke

Within the book, Tsipras asserts how Varoufakis demonstrated himself “unfit for a deal demanding intricate and delicate management.”

Tsipras also wrote how his confrontational approach made him more and more alone with colleagues, put Greece at risk, while helped hardliners who were pushing for a Greek exit from the euro.

This account of history has provoked anger and shock among certain groups, whereas Varoufakis has kept a conspicuous quiet regarding these claims.