In a newly released memoir, titled Ithaki, the ex- premier Tsipras spares no criticism while he reflects on that chaotic period of Greece's debt drama.
A Controversial Choice
According to Tsipras's account, he selected the maverick economist Varoufakis as his finance minister primarily because of his international reputation and his “extremely attractive” abilities as a speaker.
“In reality, he was, truthfully, more like a personality rather than an economist,” stated the 51-year-old.
Conflicting Priorities
The former leader suggests how Varoufakis possessed his own agenda which included advancing Varoufakis's books as well as experimenting with his theories using Greece rather than truly advocating the country's economic stability.
He wrote that those discussions to prevent insolvency were “not just a way of achieving improved terms for Greece. They were a test, a monumental opportunity to demonstrate the truth of his theories.”
Critical Talks
During rollercoaster negotiations, Greece came perilously on the brink of leaving the single currency area.
On the line lay both the country's future but also those harsh austerity measures demanded in return for financial aid from international creditors.
Failed Alternatives
Efforts to secure funds elsewhere, such as an urgent appeal to Russia to buy Greek government bonds, went unanswered.
Helping the indebted country would be tantamount to throwing money into the garbage, Putin reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the excoriating conditions were put to a popular referendum, a move that threw the EU into a further existential crisis.
Even though the referendum was won resoundingly by those who opposed austerity, the prime minister was forced but to reject its outcome then agree to a rescue deal from creditors which proved to be more severe.
Breaking Point
Tsipras claimed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who drew publicity, who graced the covers of magazines globally … it seemed he relished his new role.”
After Varoufakis outlined a contingency plan that included creating a secondary currency as well as issuing coupons to pensioners, Tsipras said he realised it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the book, the author concludes how Varoufakis had proved himself “unsuitable for an agreement demanding complex and sensitive handling.”
He also wrote how Varoufakis's aggressive approach left him increasingly isolated with colleagues, put Greece at risk, while helped hardliners that were pushing for Grexit.
This retelling of events has been met with anger along with stunned disbelief among certain groups, while the former minister has maintained a conspicuous quiet on the matter.
