Within his recently unveiled autobiography, named Ithaki, the former prime minister Tsipras pulls no punches while he reflects on that chaotic period of Greece's debt drama.
An Unconventional Appointment
In the ex-PM's recollections, he chose that unorthodox economist Varoufakis to be his finance minister mainly because of the latter's worldwide fame along with his very persuasive skills when it came to speaker.
“He was, actually, more like a personality rather than an economic expert,” recalled the 51-year-old.
Clashing Agendas
Tsipras alleges how his finance chief had a personal agenda that involved advancing his publications as well as testing out his own game theories on the nation instead of genuinely fighting for the country's financial survival.
Tsipras wrote how the talks to prevent bankruptcy were “not just a method to secure a better deal for the country. They were an experiment, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself dangerously on the brink of exiting the eurozone.
On the line was both Greece's future but also those harsh cutbacks demanded in return for rescue loans by international creditors.
Unsuccessful Options
Efforts to secure funds from other sources, such as a desperate appeal to Russia to purchase Greek bonds, were rejected.
Helping Greece would be tantamount to tossing cash into the garbage, Putin is reputed to have told his Greek counterpart during their meeting.
Public Vote and U-Turn
That summer, the punitive bailout terms were subjected to a popular referendum, an action which threw the EU into a deeper crisis of identity.
Even though the vote was carried decisively by voters who opposed austerity, the prime minister had little option but to ignore the result then negotiate a bailout package with foreign lenders which proved to be more severe.
Final Straw
Tsipras revealed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the figure who attracted publicity, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
After the minister outlined a backup strategy that included establishing a secondary currency and distributing coupons to pensioners, Tsipras said he realised that it was the end questioning Varoufakis: “Are you serious?”
Enduring Rebuke
Within the book, the author concludes that his former ally had proved himself “unfit for a deal that required complex and sensitive handling.”
He also wrote how Varoufakis's confrontational approach left him increasingly isolated among peers, endangered the country, and assisted hardliners who were pushing for a Greek exit from the euro.
The retelling of history has been met with fury and shock in some quarters, whereas the former minister has so far maintained a deafening silence on the matter.
