In a recently unveiled personal account, named Ithaki, the ex- leader Tsipras pulls no punches while he reflects on that turbulent period of Greece's financial crisis.
A Controversial Choice
In the ex-PM's account, Tsipras appointed the unorthodox academic Varoufakis as the treasury head mainly due to his global profile along with Varoufakis's highly compelling skills as a communicator.
“In reality, he was, actually, more of a star and less of an economist,” stated the 51-year-old.
Conflicting Agendas
The former leader claims how his finance chief had his own motives that included promoting Varoufakis's publications and experimenting with his theories on the nation instead of truly advocating the country's economic stability.
Tsipras explained how those discussions to avoid bankruptcy became “not just a way of achieving a better deal for Greece. They were a test, an historic opportunity to prove the validity of Varoufakis's theories.”
Critical Talks
During tense negotiations, Greece came perilously on the brink of exiting the eurozone.
On the line lay not only the country's future and the severe austerity measures demanded in return for rescue loans by foreign lenders.
Failed Options
Efforts to secure funds elsewhere, including an urgent appeal to the Kremlin to purchase Greek government bonds, were rejected.
Helping Greece would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, the harsh bailout terms were put to a public vote, a move that plunged the EU into deeper existential crisis.
Although the vote was carried resoundingly by voters who opposed the cuts, the prime minister was forced but to ignore the result then agree to a bailout package from creditors that turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“He was the public image of negotiation, the figure who attracted media attention, who graced the front pages of publications globally … it seemed he relished his new role.”
When the minister outlined a backup strategy involving establishing a parallel currency as well as distributing coupons to retirees, the leader knew that it was game over questioning Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras asserts that Varoufakis had proved himself to be “unsuitable for an agreement demanding intricate and sensitive management.”
He further wrote how Varoufakis's confrontational approach made him increasingly isolated among peers, put Greece at risk, and helped hardliners who were pushing for a Greek exit from the euro.
The retelling of events has provoked fury along with stunned disbelief in some quarters, whereas the former minister has so far maintained a deafening silence regarding these claims.
