Within his newly released memoir, titled Ithaki, the ex- premier Tsipras pulls no punches as he reflects on that chaotic era during Greece's economic turmoil.
An Unconventional Choice
As per Tsipras's account, he appointed that unorthodox economist Varoufakis to be his finance minister mainly due to his international reputation along with Varoufakis's very persuasive abilities when it came to speaker.
“In reality, he was, actually, more of a star and less of an economist,” stated Tsipras.
Conflicting Agendas
Tsipras alleges how Varoufakis possessed his own motives that included advancing Varoufakis's publications as well as testing out his own game theories using Greece rather than genuinely fighting for the country's financial survival.
He explained that those discussions to stave off insolvency became “not only a method to secure a better deal for the country. They became a test, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster discussions, the country came perilously on the brink of leaving the eurozone.
At stake was both the country's future but also the severe austerity measures required in exchange for rescue loans from foreign lenders.
Failed Alternatives
Efforts to find financing elsewhere, including an urgent appeal to the Kremlin to buy Greek government bonds, fell on stony ground.
Helping Greece was tantamount to throwing money in the trash-can, Putin reportedly told Tsipras in Moscow.
Public Vote Followed by Reversal
That summer, the harsh bailout terms were put to a public vote, an action that plunged the EU into a deeper existential crisis.
Although the referendum was won resoundingly by voters who opposed the cuts, Tsipras had little option to ignore the result then negotiate a bailout package from foreign lenders which turned out to be tougher.
Final Straw
The ex-PM revealed that he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of negotiation, the man who drew media attention, who appeared on the front pages of magazines globally … he gave the impression he was enjoying the spotlight.”
After Varoufakis proposed a backup strategy that included establishing a parallel currency as well as issuing coupons to retirees, Tsipras said he realised it was the end and asked him: “Can you be serious?”
Enduring Criticism
Within the memoir, the author asserts that his former ally had proved himself to be “unsuitable for a deal that required intricate and sensitive handling.”
He also claimed that Varoufakis's aggressive style made him increasingly isolated among peers, put Greece at risk, while helped hawks who were advocating Grexit.
This retelling of history has provoked fury and shock among certain groups, whereas Varoufakis has maintained a deafening silence on the matter.
