Within his freshly published autobiography, named Ithaki, the former leader Tsipras pulls no punches while he revisits that chaotic era during Greece's economic turmoil.
A Controversial Choice
In the ex-PM's recollections, he chose the maverick economist Varoufakis to be his treasury head mainly because of his global profile along with Varoufakis's “extremely attractive” skills as a speaker.
“In reality, he was, in reality, more like a celebrity rather than an economist,” wrote Tsipras.
Conflicting Agendas
The former leader suggests that his finance chief possessed a personal motives which included advancing his publications and experimenting with his theories using Greece instead of truly fighting for its economic stability.
Tsipras explained that the talks to prevent bankruptcy were “not only a method to secure improved terms for the country. They became an experiment, a monumental opportunity to demonstrate the validity of Varoufakis's theories.”
Critical Negotiations
Amid rollercoaster discussions, the country came dangerously on the brink of exiting the eurozone.
At stake was both the country's destiny but also those harsh cutbacks required in exchange for financial aid from foreign lenders.
Failed Options
Efforts to find funds from other sources, such as a desperate appeal to Russia to purchase Greek government bonds, were rejected.
Assisting Greece would be tantamount to tossing cash into the garbage, Putin is reputed to have told Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, those harsh bailout terms were subjected to a popular referendum, an action that plunged the EU into deeper crisis of identity.
Although the vote was won resoundingly by voters who opposed austerity, Tsipras had little option to ignore the result then negotiate a bailout package with creditors which proved to be tougher.
Breaking Point
Tsipras revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who drew publicity, who graced the front pages of publications globally … he gave the impression he relished the spotlight.”
When the minister proposed a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, Tsipras knew that it was the end questioning Varoufakis: “Is this for real?”
Lasting Criticism
Within the memoir, Tsipras concludes how Varoufakis had proved himself to be “unsuitable for an agreement that required intricate and delicate management.”
Tsipras also claimed that Varoufakis's aggressive style made him more and more alone with colleagues, put Greece at risk, while helped hawks who were advocating Grexit.
This account of history has been met with anger and stunned disbelief among certain groups, while the former minister has maintained a deafening silence regarding these claims.
