Within his newly released memoir, called Ithaki, the former prime minister Tsipras pulls no punches as he reflects on the turbulent era during Greece's economic turmoil.
A Controversial Appointment
According to Tsipras's recollections, he chose the maverick economist Varoufakis as his treasury head primarily due to his worldwide fame along with Varoufakis's “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more like a star rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
The former leader claims how his finance chief possessed his own motives that involved advancing his publications and experimenting with his own economic models using Greece rather than genuinely fighting for its financial survival.
Tsipras noted that those discussions to stave off insolvency were “not just a way to secure improved terms for the country. They were a test, a monumental chance to prove the truth of his economic theories.”
Critical Talks
Amid volatile discussions, the country came perilously close to leaving the eurozone.
At stake was not only the country's destiny and those harsh austerity measures required in exchange for rescue loans from foreign lenders.
Unsuccessful Alternatives
Efforts to find funds from other sources, including a desperate appeal to Russia to purchase Greek government bonds, fell on stony ground.
Helping Greece would be tantamount to throwing money into the garbage, Putin reportedly told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, the punitive conditions were put to a public vote, an action that plunged the EU into deeper crisis of identity.
Although the vote was won resoundingly by voters against the cuts, Tsipras was forced to reject its outcome then negotiate a rescue deal from foreign lenders that turned out to be even harsher.
Final Straw
Tsipras revealed that he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the figure who drew media attention, who appeared on the covers of publications the world over … he gave the impression he relished his new role.”
After Varoufakis proposed a contingency plan involving creating a secondary currency as well as distributing coupons to retirees, Tsipras said he realised it was game over questioning Varoufakis: “Can you be serious?”
Enduring Rebuke
In the book, the author concludes that Varoufakis had proved himself to be “unsuitable for an agreement that required complex and delicate handling.”
He also claimed that his confrontational style made him more and more alone with colleagues, endangered the country, while helped hawks that were pushing for a Greek exit from the euro.
This account of events has provoked fury and shock among certain groups, whereas the former minister has so far kept a conspicuous quiet on the matter.
