Within his freshly published personal account, titled Ithaki, the ex- leader Tsipras spares no criticism as he revisits the turbulent period during Greece's debt drama.
An Unconventional Appointment
As per Tsipras's version, he chose the unorthodox economist Yanis Varoufakis to be the treasury head largely due to the latter's worldwide fame and his very persuasive abilities as a public orator.
“He was, truthfully, more like a personality rather than an economist,” wrote Tsipras.
Conflicting Agendas
The former leader alleges that his finance chief had a personal motives which involved advancing Varoufakis's books and testing out his game theories on the nation instead of truly fighting for the country's economic stability.
Tsipras wrote that those discussions to prevent insolvency were “not only a way of achieving improved terms for Greece. They were an experiment, a monumental opportunity to demonstrate the validity of his ideas.”
High-Stakes Talks
Amid rollercoaster negotiations, Greece found itself perilously on the brink of leaving the single currency area.
On the line lay both Greece's future but also the severe cutbacks demanded in return for rescue loans from foreign lenders.
Failed Options
Efforts to secure funds elsewhere, such as a desperate plea to Russia to buy Greek government bonds, were rejected.
Assisting Greece would be equivalent to tossing cash in the trash-can, the Russian leader reportedly told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, those excoriating bailout terms were put to a popular referendum, a move which plunged Europe into further existential crisis.
Although the referendum was won resoundingly by voters against austerity, Tsipras was forced to ignore the result and agree to a rescue deal with foreign lenders that proved to be tougher.
Breaking Point
The ex-PM claimed how he began to doubt his finance minister relatively soon.
“He was the public image of the talks, the figure who drew publicity, who appeared on the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a contingency plan that included establishing a parallel currency as well as distributing vouchers to retirees, the leader knew it was game over and asked him: “Can you be serious?”
Lasting Rebuke
Within the memoir, the author concludes that his former ally had proved himself to be “unsuitable for a deal that required complex and sensitive management.”
He further claimed how Varoufakis's aggressive style made him increasingly isolated among peers, put Greece at risk, and helped hawks that were advocating a Greek exit from the euro.
This account of history has been met with fury along with shock in some quarters, while Varoufakis has kept a conspicuous quiet regarding these claims.
