In a recently unveiled memoir, titled Ithaki, the ex- premier Tsipras does not hold back as he revisits that turbulent era of Greece's debt drama.
An Unconventional Choice
According to Tsipras's version, he chose the maverick academic Varoufakis to be his finance minister largely because of the latter's global profile along with Varoufakis's very persuasive skills when it came to communicator.
“In reality, he was, truthfully, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Priorities
Tsipras claims that his finance chief possessed a personal motives which included advancing his publications and experimenting with his economic models on Greece instead of truly advocating its economic stability.
Tsipras wrote how those negotiations to stave off insolvency were “not just a way of achieving improved terms for Greece. They became an experiment, a monumental chance to prove the validity of his economic theories.”
High-Stakes Talks
During volatile discussions, the country found itself perilously close to leaving the single currency area.
At stake was not only the country's destiny and those harsh cutbacks demanded in exchange for rescue loans by foreign lenders.
Unsuccessful Options
Efforts to find funds from other sources, including a desperate appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Assisting Greece was tantamount to throwing money into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by Reversal
In July 2015, the punitive bailout terms were subjected to a popular referendum, a move that plunged Europe into a further existential crisis.
Although the vote was won decisively by those against austerity, the prime minister had little option to reject its outcome and agree to a bailout package from creditors that proved to be tougher.
Breaking Point
Tsipras revealed that he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who attracted media attention, who graced the covers of publications globally … it seemed he was enjoying his new role.”
After Varoufakis outlined a backup strategy involving establishing a secondary currency as well as issuing vouchers to retirees, Tsipras knew it was game over questioning Varoufakis: “Is this for real?”
Enduring Rebuke
Within the book, Tsipras concludes how Varoufakis had proved himself to be “unfit for an agreement demanding complex and delicate handling.”
Tsipras also claimed how Varoufakis's aggressive approach left him more and more alone with colleagues, put Greece at risk, and assisted hardliners that were advocating Grexit.
This retelling of events has been met with anger along with stunned disbelief among certain groups, while the former minister has so far kept a conspicuous quiet on the matter.
