Within his newly released personal account, called Ithaki, the ex- prime minister Alexis Tsipras spares no criticism as he reflects on the chaotic period during Greece's financial crisis.
A Controversial Appointment
According to the ex-PM's version, he appointed that unorthodox academic Varoufakis to be his treasury head largely because of his international reputation and Varoufakis's “extremely attractive” skills as a speaker.
“He was, truthfully, more of a personality rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
The former leader alleges how his finance chief had his own motives which involved promoting Varoufakis's publications and testing out his own theories using the nation rather than genuinely advocating the country's economic stability.
Tsipras wrote that those negotiations to avoid bankruptcy became “not just a method to secure improved terms for the country. They became a test, an historic opportunity to prove the truth of his theories.”
Critical Negotiations
Amid tense negotiations, the country came dangerously close to leaving the single currency area.
On the line was not only the country's destiny and the harsh austerity policies required in return for financial aid from international creditors.
Failed Alternatives
Efforts to secure financing elsewhere, including a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Assisting Greece would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by U-Turn
That summer, the harsh bailout terms were put to a public vote, a move that plunged Europe into a further existential crisis.
Even though the vote was won resoundingly by voters who opposed the cuts, the prime minister had little option but to ignore the result then agree to a bailout package with foreign lenders that turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“He was the public image of the talks, the figure who attracted publicity, who graced the covers of publications the world over … he gave the impression he was enjoying the spotlight.”
After the minister proposed a backup strategy that included establishing a secondary currency and distributing coupons to retirees, the leader knew it was the end questioning him: “Can you be serious?”
Enduring Rebuke
In the book, Tsipras asserts how his former ally had proved himself “unfit for an agreement that required complex and delicate handling.”
He further wrote how his confrontational style left him more and more alone with colleagues, put Greece at risk, and assisted hawks who were pushing for Grexit.
The retelling of history has been met with anger along with stunned disbelief in some quarters, while Varoufakis has kept a deafening silence on the matter.
