In a newly released memoir, named Ithaki, the former leader Tsipras spares no criticism while he revisits the chaotic era of Greece's debt drama.
A Controversial Choice
According to the ex-PM's recollections, he selected the maverick academic Varoufakis to be his treasury head largely because of the latter's international reputation along with his highly compelling abilities as a communicator.
“He was, actually, more of a personality and less of an economist,” recalled Tsipras.
Clashing Priorities
Tsipras alleges how his finance chief possessed a personal motives that involved advancing his publications as well as testing out his theories on the nation rather than genuinely advocating its financial survival.
He wrote how those talks to avoid bankruptcy were “not only a way to secure improved terms for Greece. They became a test, an historic opportunity to prove the truth of Varoufakis's economic theories.”
Critical Negotiations
During tense discussions, Greece found itself dangerously close to exiting the single currency area.
On the line lay both Greece's future but also the punishing austerity measures demanded in return for financial aid from international creditors.
Unsuccessful Options
Efforts to secure funds elsewhere, including a desperate plea to Russia to buy Greek bonds, went unanswered.
Assisting Greece was equivalent to throwing money in the trash-can, Putin reportedly told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, those harsh bailout terms were put to a popular referendum, an action which plunged Europe into a deeper crisis of identity.
Although the vote was won decisively by those against austerity, the prime minister had little option to reject its outcome then negotiate a rescue deal with foreign lenders which turned out to be even harsher.
Final Straw
Tsipras revealed how he started questioning Varoufakis relatively soon.
“He was the face of negotiation, the man who drew publicity, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
When Varoufakis outlined a contingency plan that included establishing a secondary currency as well as distributing coupons to retirees, Tsipras knew it was the end and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
In the book, the author concludes how Varoufakis demonstrated himself “unfit for a deal that required intricate and sensitive handling.”
He also wrote that Varoufakis's confrontational style left him more and more alone among peers, endangered the country, and helped hardliners that were advocating Grexit.
This retelling of history has been met with anger along with stunned disbelief among certain groups, whereas the former minister has maintained a deafening silence regarding these claims.
