In a newly released personal account, named Ithaki, the ex- leader Tsipras spares no criticism as he revisits the chaotic era during Greece's financial crisis.
A Controversial Choice
According to the ex-PM's account, Tsipras appointed that maverick economist Varoufakis as the treasury head primarily due to the latter's global profile along with his highly compelling abilities when it came to speaker.
“He was, in reality, more of a celebrity rather than an economist,” wrote Tsipras.
Clashing Agendas
Tsipras claims how his finance chief possessed a personal agenda which included advancing Varoufakis's publications and experimenting with his economic models on Greece rather than genuinely fighting for its financial survival.
Tsipras noted that the talks to stave off insolvency became “not just a method of achieving improved terms for Greece. They became a test, a monumental opportunity to demonstrate the validity of Varoufakis's ideas.”
Critical Negotiations
During rollercoaster negotiations, Greece came dangerously on the brink of exiting the single currency area.
At stake was not only Greece's destiny and the harsh austerity policies required in return for rescue loans by international creditors.
Unsuccessful Alternatives
Attempts to secure financing from other sources, including an urgent plea to the Kremlin to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the harsh conditions were put to a popular referendum, a move that threw the EU into further crisis of identity.
Even though the referendum was won decisively by those who opposed the cuts, the prime minister had little option but to ignore the result and negotiate a rescue deal from foreign lenders that proved to be even harsher.
Final Straw
The ex-PM revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the man who drew publicity, who graced the covers of publications globally … he gave the impression he relished his new role.”
After the minister proposed a backup strategy that included establishing a secondary currency as well as issuing vouchers to retirees, the leader said he realised it was the end questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the book, the author concludes that Varoufakis had proved himself to be “unfit for an agreement that required complex and delicate handling.”
He further claimed that Varoufakis's aggressive style left him increasingly isolated among peers, put Greece at risk, and helped hawks that were pushing for Grexit.
The retelling of events has been met with anger and shock among certain groups, while the former minister has so far kept a deafening silence on the matter.
