Within his newly released memoir, named Ithaki, the ex- prime minister Tsipras pulls no punches as he examines the turbulent era of Greece's financial crisis.
A Controversial Appointment
In Tsipras's version, Tsipras chose the unorthodox economist Varoufakis to be his finance minister largely due to the latter's international reputation along with Varoufakis's “extremely attractive” skills as a communicator.
“He was, in reality, more like a star rather than an economist,” stated Tsipras.
Conflicting Agendas
Tsipras suggests how Varoufakis possessed his own agenda that included advancing his books and experimenting with his own theories on Greece instead of truly advocating the country's economic stability.
He explained how those negotiations to stave off bankruptcy became “not just a method of achieving a better deal for Greece. They were a test, an historic opportunity to prove the validity of his economic theories.”
Critical Negotiations
Amid tense discussions, the country came perilously on the brink of exiting the eurozone.
On the line was both the country's destiny but also the harsh austerity policies required in exchange for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, including an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Helping the indebted country would be tantamount to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, those excoriating conditions were put to a popular referendum, a move that threw Europe into further existential crisis.
Although the vote was won resoundingly by voters who opposed austerity, Tsipras had little option but to reject its outcome then agree to a rescue deal with foreign lenders that proved to be tougher.
Final Straw
The ex-PM revealed how he began to doubt Varoufakis relatively soon.
“He was the public image of the talks, the man who attracted publicity, who appeared on the covers of magazines the world over … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a contingency plan that included creating a parallel currency as well as issuing coupons to retirees, Tsipras said he realised that it was game over and asked him: “Is this for real?”
Enduring Rebuke
In the memoir, the author concludes how Varoufakis had proved himself “unsuitable for an agreement that required intricate and delicate management.”
Tsipras further claimed how his confrontational approach made him increasingly isolated with colleagues, put Greece at risk, and helped hawks who were advocating Grexit.
The account of history has provoked anger and shock in some quarters, whereas Varoufakis has so far maintained a deafening silence regarding these claims.
