In a newly released personal account, named Ithaki, the former premier Tsipras spares no criticism while he reflects on the chaotic era of Greece's economic turmoil.
A Controversial Choice
According to the ex-PM's version, he appointed the maverick economist Varoufakis to be his treasury head primarily due to the latter's international reputation along with Varoufakis's “extremely attractive” abilities as a public orator.
“In reality, he was, truthfully, more of a star rather than an economist,” recalled Tsipras.
Clashing Priorities
Tsipras alleges how his finance chief had his own motives that involved promoting his publications as well as testing out his own theories using Greece instead of truly advocating its financial survival.
Tsipras noted how those negotiations to avoid insolvency were “not only a way to secure a better deal for the country. They became a test, a monumental opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
Amid rollercoaster negotiations, Greece came perilously on the brink of exiting the single currency area.
On the line lay not only Greece's future and the harsh cutbacks demanded in exchange for financial aid by foreign lenders.
Failed Options
Efforts to find funds elsewhere, such as a desperate plea to Russia to buy Greek government bonds, went unanswered.
Assisting the indebted country was tantamount to tossing cash in the trash-can, the Russian leader reportedly informed Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, the harsh bailout terms were subjected to a popular referendum, a move which threw the EU into a deeper crisis of identity.
Although the vote was won resoundingly by those against the cuts, the prime minister had little option but to reject its outcome and negotiate a bailout package with creditors that proved to be even harsher.
Final Straw
The ex-PM revealed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who graced the covers of magazines globally … he gave the impression he relished his new role.”
After Varoufakis outlined a contingency plan involving establishing a secondary currency as well as distributing vouchers to pensioners, the leader said he realised that it was game over questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the memoir, the author asserts how Varoufakis demonstrated himself “unfit for an agreement demanding complex and sensitive handling.”
He also claimed how Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, while assisted hawks who were pushing for Grexit.
This account of history has been met with anger along with shock among certain groups, whereas the former minister has kept a deafening silence on the matter.
