In a freshly published memoir, titled Ithaki, the ex- prime minister Tsipras does not hold back while he revisits that chaotic period during Greece's economic turmoil.
An Unconventional Appointment
According to the ex-PM's recollections, Tsipras selected the unorthodox academic Varoufakis to be the treasury head primarily due to the latter's worldwide fame along with his “extremely attractive” abilities when it came to public orator.
“In reality, he was, actually, more of a star and less of an economic expert,” stated Tsipras.
Clashing Priorities
The former leader alleges how his finance chief had his own agenda which included advancing Varoufakis's publications as well as testing out his own theories on the nation rather than genuinely fighting for its economic stability.
He explained how the negotiations to prevent bankruptcy became “not just a way of achieving improved terms for the country. They were a test, an historic opportunity to prove the validity of his ideas.”
Critical Negotiations
Amid rollercoaster discussions, Greece found itself dangerously on the brink of leaving the single currency area.
On the line was both Greece's future and those severe austerity measures demanded in exchange for financial aid from foreign lenders.
Failed Alternatives
Efforts to secure funds elsewhere, including a desperate appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country would be tantamount to throwing money into the garbage, Putin is reputed to have informed Tsipras during their meeting.
Public Vote Followed by Reversal
In July 2015, the harsh conditions were subjected to a public vote, a move which plunged Europe into a further crisis of identity.
Even though the referendum was carried resoundingly by voters against the cuts, Tsipras had little option but to ignore the result then negotiate a rescue deal from foreign lenders that proved to be tougher.
Final Straw
The ex-PM revealed that he began to doubt Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew publicity, who graced the covers of publications globally … it seemed he was enjoying his new role.”
When Varoufakis outlined a contingency plan involving establishing a parallel currency as well as issuing vouchers to retirees, Tsipras said he realised that it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
Within the book, the author asserts how Varoufakis had proved himself to be “unsuitable for a deal demanding complex and delicate management.”
Tsipras also claimed that Varoufakis's confrontational approach left him increasingly isolated with colleagues, endangered the country, while helped hardliners that were advocating a Greek exit from the euro.
The account of history has provoked anger along with shock in some quarters, whereas Varoufakis has so far kept a deafening silence regarding these claims.
