In a newly released autobiography, named Ithaki, the former leader Tsipras pulls no punches while he reflects on that chaotic period of Greece's economic turmoil.
A Controversial Appointment
As per the ex-PM's recollections, he appointed that maverick economist Varoufakis as the finance minister primarily due to his worldwide fame along with his very persuasive abilities as a public orator.
“He was, in reality, more of a celebrity rather than an economist,” recalled Tsipras.
Clashing Agendas
Tsipras claims how his finance chief had a personal agenda which involved promoting Varoufakis's books as well as testing out his game theories using Greece rather than truly fighting for the country's financial survival.
Tsipras wrote how the talks to avoid bankruptcy were “not just a way of achieving a better deal for the country. They became an experiment, an historic opportunity to demonstrate the truth of Varoufakis's economic theories.”
Critical Talks
During tense discussions, the country found itself perilously on the brink of leaving the eurozone.
On the line was not only Greece's future but also the harsh austerity policies demanded in return for rescue loans by international creditors.
Failed Options
Attempts to find funds elsewhere, such as a desperate plea to the Kremlin to buy Greek government bonds, were rejected.
Assisting the indebted country was tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, those harsh bailout terms were put to a popular referendum, a move that plunged the EU into a deeper crisis of identity.
Even though the vote was carried decisively by those against austerity, the prime minister was forced to ignore the result then agree to a bailout package with foreign lenders which proved to be even harsher.
Final Straw
Tsipras revealed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who drew media attention, who graced the covers of publications globally … he gave the impression he relished the spotlight.”
When Varoufakis outlined a backup strategy that included creating a secondary currency and issuing vouchers to pensioners, Tsipras said he realised that it was game over and asked him: “Is this for real?”
Lasting Criticism
Within the book, the author asserts that his former ally had proved himself to be “unsuitable for an agreement demanding complex and delicate management.”
He further wrote how Varoufakis's aggressive style made him more and more alone with colleagues, endangered the country, while assisted hardliners who were advocating a Greek exit from the euro.
The retelling of history has provoked anger and stunned disbelief among certain groups, whereas Varoufakis has kept a deafening silence regarding these claims.
