In a newly released memoir, named Ithaki, the ex- leader Tsipras spares no criticism as he revisits the turbulent era during Greece's debt drama.
A Controversial Appointment
In Tsipras's account, he selected that unorthodox academic Varoufakis to be the finance minister primarily because of his worldwide fame along with Varoufakis's highly compelling abilities when it came to speaker.
“He was, actually, more of a celebrity and less of an economist,” wrote Tsipras.
Clashing Agendas
Tsipras suggests how his finance chief possessed a personal agenda which included advancing his publications and experimenting with his economic models on Greece instead of genuinely fighting for the country's economic stability.
He wrote how those talks to avoid insolvency became “not just a way of achieving improved terms for Greece. They became a test, an historic chance to prove the truth of Varoufakis's economic theories.”
High-Stakes Negotiations
During tense discussions, the country found itself perilously close to exiting the single currency area.
At stake was both Greece's future and those punishing austerity measures demanded in return for rescue loans by foreign lenders.
Unsuccessful Alternatives
Efforts to find funds elsewhere, such as a desperate appeal to the Kremlin to purchase Greek government bonds, fell on stony ground.
Helping the indebted country was equivalent to throwing money into the garbage, Putin reportedly informed his Greek counterpart in Moscow.
Public Vote and U-Turn
That summer, the punitive bailout terms were put to a public vote, an action which threw Europe into a further existential crisis.
Although the referendum was won decisively by those against the cuts, the prime minister had little option but to ignore the result then agree to a bailout package from foreign lenders which turned out to be more severe.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who drew media attention, who graced the front pages of magazines globally … he gave the impression he relished his new role.”
When Varoufakis proposed a contingency plan involving establishing a secondary currency and issuing vouchers to pensioners, Tsipras said he realised it was game over and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the memoir, Tsipras concludes that Varoufakis had proved himself “unfit for a deal demanding complex and delicate management.”
Tsipras further wrote how Varoufakis's aggressive style made him more and more alone with colleagues, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
This account of history has been met with anger and shock in some quarters, while the former minister has so far maintained a conspicuous quiet on the matter.
