Within his newly released personal account, named Ithaki, the former premier Tsipras spares no criticism as he examines the chaotic period during Greece's economic turmoil.
An Unconventional Choice
As per Tsipras's recollections, Tsipras appointed that unorthodox academic Varoufakis as his treasury head mainly due to the latter's global profile along with Varoufakis's highly compelling skills as a communicator.
“He was, truthfully, more like a star and less of an economist,” stated the 51-year-old.
Conflicting Priorities
The former leader suggests that his finance chief had his own motives that included advancing Varoufakis's publications and testing out his game theories using Greece rather than truly fighting for its financial survival.
He explained that the negotiations to stave off bankruptcy became “not only a way to secure a better deal for Greece. They were an experiment, an historic chance to prove the truth of his ideas.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself perilously on the brink of exiting the eurozone.
On the line was both Greece's future but also the punishing austerity measures required in exchange for rescue loans by foreign lenders.
Failed Alternatives
Attempts to find funds from other sources, such as an urgent appeal to Russia to purchase Greek government bonds, went unanswered.
Helping Greece was equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, those excoriating conditions were subjected to a popular referendum, a move which threw the EU into a further existential crisis.
Although the referendum was won decisively by those who opposed the cuts, the prime minister had little option but to ignore the result then agree to a bailout package with creditors that turned out to be tougher.
Breaking Point
Tsipras claimed how he began to doubt his finance minister quite early on.
“He was the face of negotiation, the figure who attracted publicity, who appeared on the front pages of publications the world over … he gave the impression he was enjoying the spotlight.”
When the minister outlined a backup strategy that included creating a secondary currency as well as distributing vouchers to retirees, Tsipras said he realised that it was game over and asked Varoufakis: “Are you serious?”
Lasting Rebuke
Within the memoir, Tsipras concludes how Varoufakis demonstrated himself “unfit for a deal that required complex and sensitive management.”
He also wrote how Varoufakis's aggressive style made him increasingly isolated among peers, endangered the country, while assisted hardliners that were advocating a Greek exit from the euro.
The retelling of events has provoked anger and shock in some quarters, while Varoufakis has maintained a deafening silence on the matter.
