Within his freshly published autobiography, called Ithaki, the former premier Tsipras pulls no punches while he reflects on that chaotic era of Greece's economic turmoil.
A Controversial Appointment
In Tsipras's recollections, he selected that maverick academic Varoufakis to be his finance minister primarily due to his worldwide fame and Varoufakis's “extremely attractive” skills when it came to public orator.
“In reality, he was, truthfully, more of a personality and less of an economic expert,” recalled the 51-year-old.
Clashing Priorities
The former leader suggests how Varoufakis had his own agenda that included advancing Varoufakis's books and testing out his economic models using Greece instead of truly fighting for the country's economic stability.
Tsipras wrote that the discussions to prevent insolvency became “not only a way of achieving improved terms for Greece. They became an experiment, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During volatile negotiations, the country came dangerously close to exiting the eurozone.
At stake was both Greece's future but also the harsh cutbacks demanded in return for rescue loans from international creditors.
Unsuccessful Options
Attempts to find funds from other sources, including an urgent appeal to Russia to buy Greek bonds, were rejected.
Helping the indebted country was equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by U-Turn
In July 2015, those punitive conditions were subjected to a popular referendum, an action that threw Europe into further crisis of identity.
Although the vote was won resoundingly by those against the cuts, Tsipras had little option to ignore the result then negotiate a bailout package from foreign lenders that turned out to be even harsher.
Final Straw
The ex-PM revealed that he started questioning his finance minister relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who graced the front pages of publications globally … he gave the impression he relished his new role.”
When the minister proposed a backup strategy involving establishing a secondary currency as well as issuing coupons to retirees, Tsipras knew that it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the book, the author asserts that Varoufakis had proved himself “unfit for a deal demanding intricate and sensitive handling.”
Tsipras also wrote that his aggressive approach left him more and more alone with colleagues, endangered the country, and assisted hardliners who were advocating a Greek exit from the euro.
This retelling of events has provoked anger and shock in some quarters, whereas Varoufakis has maintained a deafening silence regarding these claims.
