Within his recently unveiled personal account, called Ithaki, the former leader Tsipras does not hold back while he reflects on the turbulent period during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's recollections, Tsipras appointed the maverick economist Varoufakis to be the finance minister primarily because of the latter's global profile and his very persuasive abilities when it came to speaker.
“He was, truthfully, more like a personality and less of an economic expert,” wrote Tsipras.
Clashing Priorities
The former leader alleges that Varoufakis had his own motives which included advancing his books and testing out his own theories on Greece instead of truly fighting for the country's financial survival.
Tsipras wrote how the negotiations to avoid insolvency became “not just a method of achieving a better deal for the country. They were a test, an historic chance to prove the truth of Varoufakis's theories.”
Critical Negotiations
Amid volatile negotiations, Greece came perilously on the brink of exiting the eurozone.
At stake lay not only the country's future but also those severe austerity policies required in return for rescue loans from international creditors.
Failed Alternatives
Attempts to find financing from other sources, such as an urgent appeal to Russia to purchase Greek government bonds, fell on stony ground.
Helping Greece was equivalent to tossing cash in the trash-can, Putin reportedly told his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
In July 2015, the harsh bailout terms were subjected to a public vote, a move that plunged the EU into deeper existential crisis.
Even though the referendum was won resoundingly by voters against austerity, the prime minister had little option to ignore the result and negotiate a rescue deal from foreign lenders that turned out to be even harsher.
Breaking Point
Tsipras claimed how he began to doubt his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who drew publicity, who graced the front pages of publications globally … he gave the impression he relished the spotlight.”
After Varoufakis proposed a backup strategy that included creating a secondary currency as well as distributing coupons to retirees, Tsipras knew it was game over questioning him: “Is this for real?”
Enduring Criticism
Within the memoir, Tsipras concludes that Varoufakis demonstrated himself to be “unsuitable for a deal that required intricate and sensitive management.”
Tsipras also wrote how his aggressive approach made him increasingly isolated with colleagues, put Greece at risk, and assisted hardliners that were advocating Grexit.
The retelling of events has provoked anger along with stunned disbelief among certain groups, while Varoufakis has maintained a conspicuous quiet regarding these claims.
