Within his newly released memoir, titled Ithaki, the ex- leader Tsipras does not hold back as he reflects on that chaotic period during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's recollections, Tsipras selected that maverick academic Varoufakis to be the treasury head largely due to his global profile and his “extremely attractive” skills as a speaker.
“He was, truthfully, more of a celebrity and less of an economic expert,” stated Tsipras.
Clashing Agendas
The former leader suggests how his finance chief possessed a personal agenda which included advancing his books and experimenting with his economic models on Greece rather than truly fighting for the country's financial survival.
Tsipras noted that the negotiations to stave off bankruptcy were “not only a way of achieving a better deal for Greece. They were a test, an historic chance to demonstrate the validity of his ideas.”
Critical Talks
During tense negotiations, the country found itself dangerously close to exiting the single currency area.
At stake lay both Greece's future and those severe cutbacks required in exchange for bailout funds by foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, such as a desperate plea to the Kremlin to purchase Greek bonds, were rejected.
Helping Greece would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, the harsh conditions were subjected to a public vote, a move which threw the EU into a deeper crisis of identity.
Even though the vote was won decisively by those against austerity, Tsipras had little option but to ignore the result then agree to a bailout package with foreign lenders that turned out to be even harsher.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the man who attracted publicity, who graced the covers of magazines the world over … it seemed he was enjoying the spotlight.”
After Varoufakis proposed a backup strategy involving establishing a parallel currency as well as distributing vouchers to retirees, the leader knew it was game over questioning Varoufakis: “Is this for real?”
Enduring Criticism
In the book, Tsipras concludes how his former ally had proved himself to be “unfit for a deal that required intricate and delicate handling.”
He further claimed how Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, while assisted hawks who were pushing for Grexit.
The retelling of events has provoked fury along with shock in some quarters, while Varoufakis has maintained a deafening silence on the matter.
