Within his newly released personal account, called Ithaki, the former premier Tsipras spares no criticism while he reflects on that turbulent era during Greece's financial crisis.
An Unconventional Choice
In Tsipras's account, he chose the maverick academic Varoufakis to be his treasury head largely due to his worldwide fame along with Varoufakis's highly compelling skills when it came to communicator.
“In reality, he was, actually, more like a celebrity and less of an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader suggests how his finance chief had his own motives that involved promoting Varoufakis's books as well as testing out his own theories on Greece rather than genuinely advocating its economic stability.
He explained how those talks to avoid bankruptcy were “not just a way to secure a better deal for the country. They were an experiment, a monumental opportunity to demonstrate the truth of his economic theories.”
High-Stakes Talks
During tense discussions, the country came dangerously close to exiting the single currency area.
At stake was both Greece's future but also those punishing austerity policies demanded in return for bailout funds by foreign lenders.
Unsuccessful Options
Attempts to find financing elsewhere, including an urgent plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Assisting Greece would be equivalent to tossing cash into the garbage, the Russian leader reportedly informed his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
That summer, the punitive bailout terms were subjected to a popular referendum, an action that threw Europe into a further crisis of identity.
Even though the vote was won decisively by those who opposed the cuts, Tsipras had little option but to reject its outcome then negotiate a rescue deal with creditors which turned out to be tougher.
Final Straw
Tsipras revealed how he started questioning Varoufakis quite early on.
“He was the public image of the talks, the man who attracted publicity, who appeared on the front pages of magazines globally … it seemed he relished the spotlight.”
After the minister outlined a contingency plan involving establishing a parallel currency and issuing coupons to retirees, the leader said he realised that it was game over questioning him: “Is this for real?”
Lasting Rebuke
Within the book, Tsipras asserts how his former ally had proved himself to be “unfit for an agreement demanding intricate and sensitive management.”
Tsipras also claimed that Varoufakis's confrontational style made him increasingly isolated with colleagues, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
This retelling of events has provoked anger and stunned disbelief in some quarters, while the former minister has so far kept a conspicuous quiet regarding these claims.
