In a newly released personal account, titled Ithaki, the ex- premier Tsipras spares no criticism as he reflects on that turbulent era of Greece's financial crisis.
A Controversial Choice
In Tsipras's account, Tsipras chose the maverick economist Varoufakis to be the finance minister mainly because of his international reputation along with his “extremely attractive” skills as a speaker.
“He was, truthfully, more like a celebrity rather than an economist,” wrote the 51-year-old.
Clashing Agendas
The former leader alleges how Varoufakis had a personal agenda that involved advancing his publications and experimenting with his theories on the nation instead of genuinely advocating its financial survival.
Tsipras wrote that the talks to stave off bankruptcy were “not only a method of achieving improved terms for the country. They became an experiment, an historic opportunity to prove the truth of Varoufakis's theories.”
Critical Talks
During volatile negotiations, Greece found itself dangerously close to exiting the single currency area.
On the line was not only Greece's future but also those severe cutbacks demanded in return for bailout funds by foreign lenders.
Failed Options
Efforts to secure financing elsewhere, including a desperate appeal to the Kremlin to buy Greek bonds, fell on stony ground.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Public Vote Followed by Reversal
In July 2015, the excoriating conditions were put to a popular referendum, a move which plunged Europe into a deeper crisis of identity.
Although the vote was carried decisively by those who opposed the cuts, the prime minister was forced but to ignore the result then agree to a bailout package with creditors which proved to be even harsher.
Final Straw
Tsipras revealed how he began to doubt his finance minister quite early on.
“He was the public image of negotiation, the man who drew publicity, who graced the covers of publications the world over … it seemed he was enjoying his new role.”
When Varoufakis proposed a backup strategy that included establishing a parallel currency as well as issuing vouchers to retirees, Tsipras said he realised it was game over and asked Varoufakis: “Are you serious?”
Lasting Criticism
In the book, the author concludes that Varoufakis demonstrated himself to be “unsuitable for a deal demanding intricate and sensitive management.”
Tsipras also wrote how his confrontational approach left him more and more alone with colleagues, endangered the country, and helped hawks that were advocating a Greek exit from the euro.
The retelling of events has provoked anger and shock among certain groups, while Varoufakis has so far maintained a conspicuous quiet on the matter.
