In a freshly published memoir, titled Ithaki, the former premier Tsipras does not hold back while he reflects on that turbulent era of Greece's financial crisis.
A Controversial Choice
According to the ex-PM's version, Tsipras chose the maverick economist Yanis Varoufakis to be the finance minister mainly due to the latter's worldwide fame along with Varoufakis's “extremely attractive” abilities when it came to speaker.
“In reality, he was, in reality, more of a personality and less of an economist,” wrote Tsipras.
Conflicting Agendas
The former leader alleges that Varoufakis had a personal agenda that included advancing Varoufakis's books as well as testing out his own theories on Greece instead of genuinely advocating the country's financial survival.
He explained how the negotiations to avoid insolvency became “not only a method of achieving improved terms for the country. They were a test, a monumental chance to prove the truth of Varoufakis's economic theories.”
Critical Negotiations
Amid tense negotiations, Greece came dangerously on the brink of leaving the eurozone.
On the line was both Greece's future and those severe austerity measures demanded in exchange for rescue loans by foreign lenders.
Failed Alternatives
Attempts to secure funds elsewhere, including an urgent appeal to the Kremlin to purchase Greek bonds, went unanswered.
Assisting Greece was tantamount to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, the punitive bailout terms were put to a public vote, an action which threw Europe into a deeper crisis of identity.
Although the referendum was won decisively by those who opposed the cuts, Tsipras was forced but to ignore the result and agree to a bailout package from foreign lenders which proved to be even harsher.
Final Straw
Tsipras claimed how he started questioning Varoufakis relatively soon.
“He was the face of the talks, the figure who drew media attention, who appeared on the covers of magazines globally … he gave the impression he was enjoying his new role.”
After the minister outlined a backup strategy that included creating a parallel currency and distributing vouchers to pensioners, Tsipras said he realised it was the end and asked him: “Is this for real?”
Enduring Rebuke
In the book, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal that required complex and delicate handling.”
He further claimed how Varoufakis's aggressive style made him more and more alone with colleagues, put Greece at risk, while assisted hawks who were pushing for a Greek exit from the euro.
This retelling of events has been met with anger along with stunned disbelief in some quarters, whereas Varoufakis has maintained a deafening silence on the matter.
