In a newly released autobiography, called Ithaki, the ex- prime minister Tsipras does not hold back while he reflects on that chaotic era of Greece's economic turmoil.
A Controversial Choice
In Tsipras's version, Tsipras chose the maverick academic Varoufakis to be his treasury head mainly due to his international reputation and Varoufakis's “extremely attractive” skills as a speaker.
“In reality, he was, in reality, more of a star and less of an economic expert,” stated Tsipras.
Clashing Agendas
Tsipras claims that his finance chief possessed his own agenda that involved promoting his books and testing out his game theories using Greece rather than truly advocating its economic stability.
He wrote how the negotiations to stave off bankruptcy were “not just a method to secure a better deal for the country. They were an experiment, an historic chance to prove the truth of his economic theories.”
High-Stakes Negotiations
Amid tense discussions, the country came perilously on the brink of leaving the eurozone.
On the line was not only the country's destiny but also those punishing cutbacks required in exchange for bailout funds by foreign lenders.
Failed Alternatives
Attempts to find funds elsewhere, including a desperate plea to Russia to purchase Greek government bonds, were rejected.
Helping Greece was equivalent to throwing money into the garbage, the Russian leader reportedly informed Tsipras during their meeting.
Public Vote and U-Turn
That summer, the harsh conditions were subjected to a public vote, a move that plunged the EU into deeper existential crisis.
Even though the referendum was carried decisively by voters who opposed austerity, Tsipras was forced to reject its outcome and negotiate a bailout package with foreign lenders which turned out to be more severe.
Breaking Point
The ex-PM revealed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who graced the front pages of magazines the world over … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy that included creating a parallel currency and distributing vouchers to retirees, the leader said he realised that it was game over questioning him: “Is this for real?”
Enduring Criticism
Within the memoir, the author concludes how Varoufakis had proved himself “unsuitable for an agreement that required intricate and sensitive management.”
Tsipras also wrote that Varoufakis's confrontational style left him more and more alone among peers, endangered the country, and assisted hawks that were advocating a Greek exit from the euro.
The retelling of events has been met with anger along with stunned disbelief in some quarters, while the former minister has maintained a conspicuous quiet on the matter.
