Within his freshly published personal account, named Ithaki, the former premier Alexis Tsipras spares no criticism as he revisits that chaotic period during Greece's economic turmoil.
An Unconventional Appointment
According to Tsipras's version, he chose the maverick economist Varoufakis as the finance minister primarily due to the latter's global profile and Varoufakis's very persuasive skills as a speaker.
“In reality, he was, truthfully, more like a star rather than an economist,” wrote the 51-year-old.
Clashing Agendas
The former leader alleges that his finance chief had his own agenda which involved promoting his publications and experimenting with his theories using Greece rather than genuinely fighting for its financial survival.
Tsipras noted how the negotiations to stave off insolvency were “not just a way to secure improved terms for Greece. They became a test, an historic opportunity to prove the truth of Varoufakis's economic theories.”
High-Stakes Negotiations
Amid tense negotiations, the country came dangerously close to exiting the eurozone.
At stake was not only the country's destiny but also the punishing austerity policies demanded in return for rescue loans from international creditors.
Failed Alternatives
Attempts to find funds from other sources, such as a desperate appeal to Russia to buy Greek government bonds, fell on stony ground.
Assisting the indebted country would be tantamount to tossing cash into the garbage, the Russian leader reportedly informed his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, those harsh conditions were put to a public vote, an action which plunged Europe into a further existential crisis.
Even though the referendum was carried decisively by voters against the cuts, Tsipras had little option to ignore the result then negotiate a rescue deal with foreign lenders which turned out to be tougher.
Breaking Point
The ex-PM revealed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of negotiation, the man who drew publicity, who graced the covers of magazines globally … it seemed he was enjoying his new role.”
When the minister outlined a backup strategy that included creating a secondary currency as well as issuing vouchers to retirees, the leader knew it was the end and asked him: “Are you serious?”
Lasting Rebuke
In the memoir, the author concludes how his former ally had proved himself to be “unfit for a deal that required complex and delicate management.”
Tsipras further claimed how his confrontational style left him increasingly isolated among peers, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
This account of history has provoked anger along with stunned disbelief in some quarters, while Varoufakis has kept a conspicuous quiet regarding these claims.
