In a recently unveiled memoir, called Ithaki, the former leader Tsipras pulls no punches as he revisits that chaotic era of Greece's economic turmoil.
A Controversial Appointment
As per the ex-PM's account, Tsipras chose that maverick economist Varoufakis to be his treasury head mainly due to his global profile and his very persuasive skills when it came to communicator.
“In reality, he was, in reality, more like a celebrity rather than an economic expert,” wrote the 51-year-old.
Conflicting Agendas
The former leader alleges that his finance chief had a personal agenda which included advancing Varoufakis's books as well as experimenting with his own game theories on Greece rather than genuinely advocating its financial survival.
He explained how those discussions to avoid bankruptcy were “not just a way to secure a better deal for the country. They were a test, a monumental opportunity to prove the validity of his theories.”
Critical Negotiations
During tense discussions, Greece found itself perilously close to exiting the eurozone.
At stake was not only Greece's destiny and the severe austerity measures demanded in exchange for rescue loans from international creditors.
Unsuccessful Alternatives
Efforts to find funds from other sources, such as an urgent plea to Russia to buy Greek bonds, fell on stony ground.
Helping Greece was tantamount to throwing money in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote Followed by Reversal
That summer, those harsh conditions were subjected to a public vote, a move that threw the EU into further existential crisis.
Although the vote was carried resoundingly by voters against the cuts, the prime minister had little option but to ignore the result and agree to a bailout package from creditors that turned out to be tougher.
Final Straw
The ex-PM revealed how he started questioning his finance minister relatively soon.
“Varoufakis was the public image of the talks, the figure who drew media attention, who graced the front pages of publications globally … it seemed he relished his new role.”
When Varoufakis proposed a contingency plan involving creating a parallel currency and distributing vouchers to pensioners, the leader said he realised that it was the end questioning Varoufakis: “Is this for real?”
Enduring Rebuke
In the book, Tsipras concludes that his former ally had proved himself to be “unfit for an agreement that required complex and sensitive handling.”
He further claimed how Varoufakis's confrontational approach made him increasingly isolated with colleagues, put Greece at risk, while helped hawks who were advocating a Greek exit from the euro.
The retelling of history has been met with anger along with stunned disbelief in some quarters, whereas the former minister has maintained a conspicuous quiet on the matter.
