In a freshly published memoir, named Ithaki, the former leader Tsipras pulls no punches while he revisits that chaotic period of Greece's economic turmoil.
A Controversial Appointment
In Tsipras's account, he chose that unorthodox academic Yanis Varoufakis to be the finance minister largely because of the latter's global profile along with Varoufakis's “extremely attractive” skills when it came to communicator.
“In reality, he was, truthfully, more like a personality and less of an economist,” stated the 51-year-old.
Conflicting Priorities
Tsipras claims how his finance chief had his own motives which included advancing his publications and testing out his own economic models on Greece instead of truly fighting for its financial survival.
Tsipras explained that those discussions to stave off insolvency became “not just a way to secure a better deal for the country. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's ideas.”
High-Stakes Talks
During rollercoaster negotiations, Greece found itself perilously on the brink of exiting the eurozone.
On the line was not only the country's future but also the punishing austerity measures demanded in exchange for financial aid by international creditors.
Unsuccessful Alternatives
Efforts to find funds from other sources, including a desperate appeal to Russia to buy Greek bonds, fell on stony ground.
Helping Greece was equivalent to tossing cash in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, those punitive bailout terms were put to a popular referendum, a move which threw the EU into a deeper existential crisis.
Even though the referendum was won resoundingly by voters who opposed the cuts, the prime minister had little option to reject its outcome and agree to a bailout package from foreign lenders that turned out to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis quite early on.
“Varoufakis was the face of negotiation, the man who attracted media attention, who appeared on the covers of publications the world over … it seemed he relished his new role.”
After Varoufakis outlined a backup strategy that included creating a parallel currency as well as distributing coupons to pensioners, Tsipras knew that it was game over and asked him: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras concludes how Varoufakis had proved himself “unsuitable for a deal that required complex and delicate management.”
He also claimed that Varoufakis's confrontational style left him more and more alone among peers, endangered the country, while assisted hawks that were pushing for Grexit.
The account of events has provoked fury and stunned disbelief in some quarters, while the former minister has so far maintained a conspicuous quiet on the matter.
