In a recently unveiled memoir, named Ithaki, the former prime minister Tsipras spares no criticism as he revisits that chaotic period during Greece's financial crisis.
An Unconventional Choice
In the ex-PM's account, Tsipras appointed that maverick academic Varoufakis to be his treasury head mainly due to the latter's global profile and his “extremely attractive” abilities as a communicator.
“In reality, he was, actually, more of a star and less of an economist,” stated Tsipras.
Clashing Priorities
The former leader claims how his finance chief possessed his own agenda that included promoting Varoufakis's books as well as testing out his own game theories on Greece instead of genuinely advocating its financial survival.
Tsipras noted that those talks to avoid insolvency were “not just a way of achieving a better deal for Greece. They became an experiment, an historic opportunity to prove the truth of his economic theories.”
High-Stakes Negotiations
Amid tense negotiations, Greece came dangerously on the brink of exiting the single currency area.
On the line lay both Greece's destiny but also those severe austerity measures demanded in exchange for rescue loans by foreign lenders.
Unsuccessful Options
Attempts to secure financing from other sources, such as a desperate appeal to the Kremlin to purchase Greek government bonds, went unanswered.
Helping Greece was tantamount to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Public Vote and Reversal
That summer, the harsh conditions were subjected to a popular referendum, an action that plunged Europe into deeper existential crisis.
Even though the referendum was won decisively by voters against the cuts, the prime minister had little option but to reject its outcome and negotiate a bailout package from creditors which turned out to be more severe.
Breaking Point
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who appeared on the front pages of magazines the world over … he gave the impression he relished the spotlight.”
After Varoufakis proposed a contingency plan that included establishing a secondary currency as well as distributing vouchers to pensioners, Tsipras said he realised that it was the end and asked him: “Can you be serious?”
Enduring Criticism
Within the memoir, the author asserts how Varoufakis had proved himself to be “unsuitable for a deal demanding complex and delicate handling.”
He further claimed how his aggressive style made him increasingly isolated among peers, put Greece at risk, and helped hawks that were advocating Grexit.
This retelling of events has been met with anger along with stunned disbelief among certain groups, while the former minister has so far kept a deafening silence on the matter.
