In a newly released memoir, named Ithaki, the former leader Tsipras pulls no punches as he revisits that turbulent era during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's account, he appointed the unorthodox economist Varoufakis as the treasury head mainly because of his international reputation and his highly compelling abilities when it came to speaker.
“He was, actually, more of a star rather than an economic expert,” wrote Tsipras.
Conflicting Agendas
Tsipras alleges that his finance chief possessed his own motives which included advancing his publications as well as testing out his economic models using Greece instead of truly fighting for its economic stability.
Tsipras explained how the discussions to stave off bankruptcy became “not just a method to secure improved terms for Greece. They became a test, an historic opportunity to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
Amid volatile discussions, Greece came perilously close to leaving the single currency area.
On the line was not only the country's destiny but also those severe austerity policies required in exchange for financial aid from international creditors.
Failed Alternatives
Efforts to secure financing from other sources, such as a desperate appeal to Russia to buy Greek bonds, were rejected.
Assisting the indebted country was equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum and U-Turn
That summer, those punitive conditions were subjected to a popular referendum, a move that threw the EU into deeper existential crisis.
Although the vote was carried resoundingly by voters who opposed the cuts, Tsipras had little option but to reject its outcome and agree to a rescue deal with foreign lenders which proved to be more severe.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who attracted publicity, who graced the front pages of magazines the world over … he gave the impression he was enjoying his new role.”
When the minister outlined a backup strategy that included establishing a parallel currency as well as distributing coupons to pensioners, Tsipras said he realised it was game over questioning him: “Can you be serious?”
Lasting Rebuke
In the memoir, the author asserts how his former ally demonstrated himself to be “unfit for an agreement demanding intricate and delicate management.”
Tsipras also wrote that Varoufakis's aggressive style made him increasingly isolated with colleagues, endangered the country, while helped hawks that were advocating a Greek exit from the euro.
This account of events has been met with anger along with stunned disbelief among certain groups, while the former minister has so far maintained a deafening silence on the matter.
