Within his freshly published memoir, named Ithaki, the former prime minister Tsipras pulls no punches as he examines the chaotic era during Greece's debt drama.
A Controversial Appointment
As per Tsipras's version, Tsipras chose the unorthodox economist Varoufakis to be his finance minister largely because of his worldwide fame and Varoufakis's highly compelling abilities as a public orator.
“He was, truthfully, more of a celebrity rather than an economist,” wrote Tsipras.
Conflicting Agendas
The former leader alleges how his finance chief possessed his own agenda that involved promoting his books and testing out his own theories using Greece rather than genuinely fighting for the country's financial survival.
He noted how those talks to avoid bankruptcy were “not just a method to secure improved terms for the country. They became a test, a monumental chance to prove the truth of his ideas.”
High-Stakes Negotiations
Amid tense negotiations, the country came dangerously on the brink of leaving the single currency area.
On the line lay not only the country's future and the punishing cutbacks required in return for financial aid from international creditors.
Unsuccessful Alternatives
Attempts to find funds elsewhere, including a desperate appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country was tantamount to throwing money into the garbage, Putin is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by Reversal
That summer, the harsh bailout terms were subjected to a public vote, an action which threw Europe into deeper existential crisis.
Although the vote was carried resoundingly by voters against the cuts, Tsipras had little option to ignore the result and negotiate a rescue deal with creditors that proved to be tougher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the man who drew media attention, who appeared on the front pages of publications the world over … he gave the impression he was enjoying the spotlight.”
When the minister outlined a backup strategy involving establishing a parallel currency as well as distributing vouchers to pensioners, the leader said he realised it was the end and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
In the memoir, Tsipras concludes how Varoufakis had proved himself “unsuitable for a deal that required intricate and sensitive handling.”
He also wrote how Varoufakis's confrontational approach made him increasingly isolated with colleagues, endangered the country, while assisted hardliners who were advocating a Greek exit from the euro.
This retelling of history has provoked anger along with shock in some quarters, while Varoufakis has kept a conspicuous quiet regarding these claims.
