Within his freshly published autobiography, titled Ithaki, the former prime minister Tsipras does not hold back while he revisits that turbulent period during Greece's financial crisis.
A Controversial Choice
In the ex-PM's account, he appointed the unorthodox academic Varoufakis as his finance minister largely due to his international reputation along with Varoufakis's highly compelling skills when it came to public orator.
“In reality, he was, actually, more of a star and less of an economic expert,” stated the 51-year-old.
Clashing Priorities
Tsipras alleges that Varoufakis had a personal motives that involved promoting Varoufakis's publications as well as experimenting with his own theories on the nation rather than truly fighting for its financial survival.
Tsipras noted how the negotiations to avoid insolvency were “not only a way to secure improved terms for Greece. They became a test, a monumental opportunity to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Talks
Amid volatile negotiations, the country came perilously on the brink of leaving the single currency area.
On the line was not only the country's future but also the harsh austerity policies demanded in exchange for rescue loans from international creditors.
Unsuccessful Options
Efforts to find financing from other sources, such as a desperate plea to the Kremlin to buy Greek government bonds, went unanswered.
Assisting the indebted country would be tantamount to tossing cash in the trash-can, Putin reportedly told his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, the harsh bailout terms were subjected to a public vote, a move that plunged the EU into a deeper existential crisis.
Although the vote was won decisively by voters who opposed austerity, the prime minister had little option but to ignore the result then agree to a bailout package with creditors that turned out to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis quite early on.
“He was the public image of negotiation, the figure who drew media attention, who graced the front pages of magazines the world over … he gave the impression he relished his new role.”
When Varoufakis outlined a backup strategy that included establishing a parallel currency as well as issuing vouchers to retirees, Tsipras said he realised it was game over questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the book, Tsipras asserts that Varoufakis had proved himself “unsuitable for an agreement demanding complex and sensitive management.”
He further claimed that his confrontational approach left him more and more alone among peers, put Greece at risk, while assisted hawks who were advocating Grexit.
This retelling of events has provoked fury along with shock among certain groups, while the former minister has so far maintained a deafening silence regarding these claims.
