In a recently unveiled personal account, titled Ithaki, the ex- premier Tsipras does not hold back while he reflects on that turbulent era during Greece's economic turmoil.
An Unconventional Choice
According to the ex-PM's version, Tsipras chose that unorthodox academic Varoufakis to be his treasury head mainly because of the latter's global profile along with his highly compelling skills as a speaker.
“He was, in reality, more of a star and less of an economic expert,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests how Varoufakis had a personal motives that included promoting his books and experimenting with his own economic models using Greece instead of genuinely advocating the country's financial survival.
Tsipras explained that the negotiations to avoid bankruptcy became “not only a method of achieving improved terms for Greece. They became an experiment, a monumental chance to prove the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
During volatile discussions, the country came perilously close to exiting the eurozone.
On the line was not only Greece's future but also those severe austerity measures demanded in exchange for rescue loans by foreign lenders.
Unsuccessful Alternatives
Attempts to find financing elsewhere, such as a desperate plea to Russia to buy Greek bonds, fell on stony ground.
Helping Greece was equivalent to tossing cash in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Public Vote Followed by U-Turn
In July 2015, the punitive conditions were subjected to a popular referendum, an action which plunged the EU into deeper crisis of identity.
Even though the vote was carried resoundingly by voters against the cuts, Tsipras was forced but to reject its outcome then negotiate a bailout package from foreign lenders that turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning his finance minister quite early on.
“He was the face of negotiation, the figure who drew publicity, who appeared on the covers of publications the world over … it seemed he was enjoying the spotlight.”
After Varoufakis proposed a contingency plan that included creating a parallel currency and distributing coupons to pensioners, Tsipras said he realised it was game over and asked Varoufakis: “Is this for real?”
Enduring Rebuke
Within the memoir, Tsipras asserts how his former ally demonstrated himself “unfit for an agreement demanding complex and sensitive management.”
Tsipras also wrote that his confrontational approach made him increasingly isolated with colleagues, put Greece at risk, and assisted hawks who were pushing for Grexit.
The retelling of events has been met with fury and shock among certain groups, whereas Varoufakis has so far kept a deafening silence regarding these claims.
