In a freshly published memoir, named Ithaki, the ex- premier Tsipras pulls no punches while he revisits the chaotic era during Greece's debt drama.
A Controversial Appointment
According to Tsipras's version, he chose the maverick economist Varoufakis to be the treasury head primarily because of the latter's global profile along with his “extremely attractive” abilities as a public orator.
“In reality, he was, in reality, more like a celebrity rather than an economist,” recalled the 51-year-old.
Conflicting Agendas
The former leader claims how his finance chief possessed his own motives which involved advancing Varoufakis's books as well as experimenting with his game theories using Greece instead of truly fighting for its financial survival.
He wrote how those talks to prevent insolvency were “not only a method of achieving improved terms for Greece. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
Critical Negotiations
Amid volatile negotiations, the country came dangerously on the brink of leaving the eurozone.
On the line was both the country's future and those severe austerity measures required in return for financial aid from foreign lenders.
Unsuccessful Options
Efforts to secure financing elsewhere, including an urgent appeal to the Kremlin to purchase Greek government bonds, went unanswered.
Assisting Greece would be tantamount to throwing money into the garbage, the Russian leader reportedly informed his Greek counterpart in Moscow.
Public Vote Followed by Reversal
That summer, the harsh bailout terms were put to a public vote, an action that threw Europe into a deeper existential crisis.
Even though the vote was carried resoundingly by those who opposed austerity, the prime minister had little option but to reject its outcome and agree to a rescue deal with foreign lenders that turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the face of the talks, the figure who drew publicity, who appeared on the front pages of publications the world over … he gave the impression he was enjoying his new role.”
After the minister proposed a contingency plan that included establishing a parallel currency as well as distributing coupons to retirees, the leader said he realised that it was game over questioning him: “Can you be serious?”
Enduring Criticism
In the book, Tsipras asserts that Varoufakis had proved himself to be “unfit for a deal demanding intricate and sensitive handling.”
He further wrote that Varoufakis's confrontational approach made him more and more alone among peers, put Greece at risk, while helped hawks who were advocating Grexit.
The account of events has provoked fury and stunned disbelief in some quarters, while Varoufakis has maintained a conspicuous quiet regarding these claims.
