Within his freshly published memoir, titled Ithaki, the former premier Tsipras pulls no punches as he reflects on that chaotic era during Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's recollections, he selected the unorthodox economist Varoufakis to be the treasury head largely due to the latter's global profile along with his “extremely attractive” skills when it came to communicator.
“In reality, he was, actually, more of a celebrity rather than an economist,” recalled Tsipras.
Clashing Agendas
The former leader suggests how his finance chief had a personal agenda that involved promoting Varoufakis's books and testing out his theories on the nation instead of truly fighting for its financial survival.
Tsipras explained that those talks to avoid insolvency became “not only a way of achieving improved terms for Greece. They became a test, an historic opportunity to prove the truth of his economic theories.”
Critical Negotiations
Amid tense negotiations, the country came perilously close to leaving the single currency area.
At stake lay both Greece's future but also those punishing cutbacks demanded in exchange for bailout funds by international creditors.
Failed Options
Attempts to find funds from other sources, such as a desperate appeal to the Kremlin to purchase Greek government bonds, were rejected.
Helping the indebted country would be equivalent to throwing money in the trash-can, Putin reportedly told Tsipras during their meeting.
Referendum and Reversal
That summer, those excoriating bailout terms were subjected to a public vote, an action that plunged the EU into further existential crisis.
Although the vote was carried resoundingly by those against the cuts, Tsipras was forced to reject its outcome and negotiate a rescue deal from creditors which turned out to be tougher.
Final Straw
The ex-PM claimed that he started questioning his finance minister relatively soon.
“He was the face of the talks, the figure who drew publicity, who graced the covers of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy that included establishing a secondary currency and issuing vouchers to pensioners, the leader knew it was game over questioning Varoufakis: “Is this for real?”
Lasting Criticism
Within the memoir, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for a deal that required complex and sensitive management.”
Tsipras also claimed that his confrontational approach made him more and more alone with colleagues, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
The account of events has provoked anger along with shock in some quarters, whereas the former minister has kept a conspicuous quiet on the matter.
