Within his recently unveiled autobiography, titled Ithaki, the former leader Tsipras does not hold back while he revisits the turbulent era of Greece's economic turmoil.
A Controversial Choice
According to Tsipras's version, Tsipras chose that unorthodox academic Varoufakis as his finance minister largely because of the latter's global profile and Varoufakis's very persuasive skills as a public orator.
“In reality, he was, truthfully, more like a personality and less of an economist,” recalled Tsipras.
Clashing Agendas
The former leader alleges that his finance chief had his own motives which included promoting Varoufakis's publications as well as experimenting with his theories using Greece instead of genuinely advocating its economic stability.
He explained how those discussions to stave off insolvency were “not just a way of achieving a better deal for the country. They became a test, a monumental opportunity to prove the validity of his economic theories.”
High-Stakes Talks
During tense negotiations, the country found itself dangerously close to leaving the single currency area.
On the line was both the country's future and the punishing austerity policies required in return for financial aid from foreign lenders.
Failed Options
Efforts to find financing elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to tossing cash into the garbage, Putin reportedly informed his Greek counterpart during their meeting.
Public Vote and Reversal
In July 2015, those harsh conditions were subjected to a popular referendum, a move which threw the EU into a deeper crisis of identity.
Even though the referendum was carried resoundingly by voters against the cuts, Tsipras had little option but to reject its outcome and negotiate a rescue deal from foreign lenders which turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning Varoufakis quite early on.
“He was the public image of the talks, the figure who attracted media attention, who appeared on the covers of publications globally … it seemed he relished his new role.”
After Varoufakis proposed a contingency plan involving creating a parallel currency as well as issuing coupons to pensioners, the leader knew it was the end and asked Varoufakis: “Is this for real?”
Enduring Criticism
Within the book, the author concludes how Varoufakis demonstrated himself to be “unfit for an agreement that required intricate and sensitive management.”
He also claimed how his confrontational style made him increasingly isolated among peers, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
This account of events has been met with anger along with shock in some quarters, while the former minister has kept a deafening silence regarding these claims.
