In a recently unveiled personal account, titled Ithaki, the ex- premier Tsipras does not hold back while he examines that chaotic period of Greece's debt drama.
An Unconventional Appointment
As per Tsipras's recollections, he selected the unorthodox economist Varoufakis to be his treasury head mainly because of the latter's international reputation and Varoufakis's highly compelling abilities as a public orator.
“In reality, he was, actually, more like a celebrity rather than an economic expert,” stated Tsipras.
Conflicting Agendas
The former leader alleges that Varoufakis had a personal motives which included promoting Varoufakis's books as well as testing out his own economic models on Greece rather than truly fighting for the country's financial survival.
He noted that those talks to prevent bankruptcy became “not just a way of achieving improved terms for Greece. They became an experiment, an historic chance to prove the truth of his economic theories.”
High-Stakes Talks
Amid volatile discussions, Greece came perilously on the brink of leaving the single currency area.
On the line was not only the country's destiny and the punishing austerity policies required in exchange for rescue loans from international creditors.
Failed Alternatives
Efforts to find funds from other sources, such as a desperate appeal to the Kremlin to purchase Greek government bonds, fell on stony ground.
Assisting the indebted country would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, those punitive bailout terms were subjected to a popular referendum, a move which plunged the EU into a deeper crisis of identity.
Even though the referendum was won resoundingly by voters against austerity, Tsipras was forced but to ignore the result and agree to a rescue deal from foreign lenders which turned out to be more severe.
Final Straw
Tsipras revealed that he started questioning his finance minister relatively soon.
“He was the face of negotiation, the figure who drew publicity, who appeared on the covers of magazines the world over … he gave the impression he relished the spotlight.”
When Varoufakis outlined a contingency plan that included creating a secondary currency as well as issuing vouchers to retirees, Tsipras knew that it was game over questioning Varoufakis: “Is this for real?”
Enduring Rebuke
Within the book, the author concludes that his former ally had proved himself “unsuitable for an agreement demanding complex and delicate management.”
Tsipras further claimed that Varoufakis's confrontational style left him increasingly isolated among peers, put Greece at risk, and assisted hardliners who were advocating Grexit.
The account of events has been met with fury and shock in some quarters, while the former minister has so far kept a conspicuous quiet on the matter.
