In a newly released personal account, named Ithaki, the former premier Tsipras pulls no punches as he revisits that turbulent period of Greece's economic turmoil.
A Controversial Choice
As per Tsipras's account, he chose the maverick academic Varoufakis as the finance minister mainly due to his international reputation along with his “extremely attractive” skills when it came to public orator.
“He was, in reality, more like a star rather than an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests that Varoufakis possessed his own motives which included promoting Varoufakis's publications and testing out his theories using Greece rather than truly fighting for its financial survival.
Tsipras wrote that those discussions to avoid insolvency became “not just a method of achieving a better deal for the country. They became an experiment, a monumental chance to prove the truth of Varoufakis's ideas.”
Critical Negotiations
Amid rollercoaster discussions, the country came dangerously close to exiting the eurozone.
At stake lay not only Greece's future and the harsh austerity policies demanded in return for rescue loans by foreign lenders.
Failed Alternatives
Efforts to secure financing from other sources, such as a desperate appeal to the Kremlin to purchase Greek bonds, fell on stony ground.
Helping Greece would be tantamount to throwing money into the garbage, the Russian leader reportedly told his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, the punitive bailout terms were subjected to a public vote, an action which threw Europe into deeper crisis of identity.
Although the referendum was carried resoundingly by voters who opposed austerity, Tsipras was forced but to ignore the result then agree to a rescue deal with foreign lenders which turned out to be even harsher.
Final Straw
Tsipras revealed that he began to doubt Varoufakis relatively soon.
“He was the face of negotiation, the man who attracted media attention, who graced the covers of magazines the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a backup strategy involving establishing a secondary currency as well as distributing coupons to retirees, the leader said he realised that it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the memoir, Tsipras asserts that his former ally demonstrated himself to be “unsuitable for a deal that required intricate and delicate management.”
He further claimed how Varoufakis's confrontational style left him more and more alone among peers, put Greece at risk, and helped hardliners that were pushing for Grexit.
The retelling of history has provoked anger and stunned disbelief among certain groups, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
