In a newly released autobiography, named Ithaki, the ex- prime minister Tsipras pulls no punches as he revisits that chaotic period during Greece's debt drama.
An Unconventional Appointment
In Tsipras's account, he selected that unorthodox economist Varoufakis as his treasury head mainly because of the latter's international reputation and Varoufakis's highly compelling skills when it came to communicator.
“In reality, he was, actually, more like a star and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
Tsipras claims that Varoufakis possessed a personal agenda which included promoting his publications and experimenting with his economic models using the nation rather than truly advocating the country's economic stability.
He explained how those discussions to stave off bankruptcy were “not only a method to secure improved terms for the country. They were an experiment, a monumental chance to prove the truth of his ideas.”
Critical Talks
Amid volatile negotiations, the country came dangerously on the brink of exiting the single currency area.
On the line was both the country's future but also the severe austerity policies demanded in exchange for financial aid by foreign lenders.
Unsuccessful Alternatives
Efforts to find financing from other sources, such as a desperate appeal to Russia to purchase Greek bonds, fell on stony ground.
Assisting the indebted country would be tantamount to throwing money in the trash-can, Putin reportedly informed Tsipras in Moscow.
Referendum Followed by Reversal
That summer, the punitive bailout terms were subjected to a popular referendum, a move which plunged the EU into a deeper crisis of identity.
Even though the vote was carried decisively by voters who opposed the cuts, Tsipras had little option but to ignore the result and agree to a bailout package with creditors that proved to be more severe.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the face of negotiation, the man who attracted publicity, who graced the covers of magazines the world over … it seemed he relished his new role.”
When Varoufakis outlined a backup strategy that included creating a parallel currency as well as distributing coupons to retirees, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Lasting Criticism
In the book, the author concludes how his former ally had proved himself “unfit for an agreement that required intricate and delicate management.”
Tsipras also claimed how Varoufakis's aggressive approach made him increasingly isolated among peers, endangered the country, while helped hawks that were advocating a Greek exit from the euro.
This retelling of events has provoked anger along with stunned disbelief in some quarters, whereas Varoufakis has so far kept a deafening silence on the matter.
