In a newly released personal account, named Ithaki, the ex- premier Tsipras spares no criticism as he reflects on that chaotic era during Greece's financial crisis.
An Unconventional Appointment
In Tsipras's version, he appointed the maverick academic Yanis Varoufakis as his treasury head largely due to the latter's global profile and Varoufakis's very persuasive skills as a public orator.
“He was, actually, more like a personality rather than an economist,” stated Tsipras.
Conflicting Priorities
The former leader claims that his finance chief had his own motives that included advancing his books and experimenting with his game theories on the nation instead of truly fighting for its economic stability.
Tsipras wrote that those discussions to avoid bankruptcy were “not just a method of achieving a better deal for the country. They were a test, an historic chance to demonstrate the truth of Varoufakis's economic theories.”
High-Stakes Talks
Amid rollercoaster negotiations, Greece found itself dangerously on the brink of leaving the eurozone.
On the line was both the country's destiny and the harsh austerity policies demanded in return for rescue loans from international creditors.
Unsuccessful Options
Attempts to find financing elsewhere, such as an urgent plea to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to throwing money in the trash-can, the Russian leader reportedly told Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, those punitive bailout terms were put to a popular referendum, an action which threw Europe into a deeper crisis of identity.
Although the referendum was won resoundingly by voters who opposed austerity, Tsipras had little option to ignore the result and negotiate a rescue deal with creditors which proved to be more severe.
Breaking Point
Tsipras revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who graced the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
After Varoufakis outlined a backup strategy that included establishing a secondary currency and distributing coupons to retirees, the leader knew it was game over questioning Varoufakis: “Is this for real?”
Lasting Criticism
Within the book, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for an agreement demanding intricate and delicate handling.”
Tsipras further wrote how Varoufakis's confrontational style left him more and more alone with colleagues, put Greece at risk, while assisted hawks that were pushing for Grexit.
The retelling of history has been met with fury and stunned disbelief in some quarters, whereas the former minister has kept a conspicuous quiet regarding these claims.
