Within his newly released memoir, called Ithaki, the ex- prime minister Tsipras spares no criticism as he reflects on that chaotic period of Greece's economic turmoil.
An Unconventional Appointment
According to Tsipras's account, Tsipras chose the maverick economist Yanis Varoufakis to be his finance minister mainly because of the latter's worldwide fame along with his highly compelling abilities as a public orator.
“In reality, he was, in reality, more like a celebrity rather than an economic expert,” recalled the 51-year-old.
Conflicting Agendas
The former leader alleges how his finance chief possessed a personal agenda which involved advancing Varoufakis's publications as well as testing out his economic models on Greece instead of genuinely fighting for the country's economic stability.
Tsipras wrote that those talks to avoid insolvency were “not just a way of achieving a better deal for the country. They became a test, an historic chance to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During volatile discussions, Greece came perilously close to leaving the single currency area.
On the line was not only Greece's future but also those severe austerity policies demanded in exchange for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to find financing from other sources, such as a desperate plea to Russia to purchase Greek bonds, were rejected.
Assisting the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have informed Tsipras during their meeting.
Referendum Followed by U-Turn
That summer, the harsh conditions were subjected to a public vote, an action which plunged the EU into deeper crisis of identity.
Although the referendum was won decisively by voters against the cuts, the prime minister had little option but to ignore the result then agree to a bailout package from foreign lenders that turned out to be tougher.
Final Straw
Tsipras revealed how he started questioning his finance minister relatively soon.
“He was the face of the talks, the man who attracted publicity, who graced the covers of magazines the world over … he gave the impression he relished his new role.”
After Varoufakis proposed a contingency plan involving creating a parallel currency as well as issuing vouchers to pensioners, the leader said he realised that it was game over questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the memoir, the author asserts that Varoufakis demonstrated himself to be “unsuitable for a deal demanding complex and sensitive management.”
He further wrote that his confrontational style left him more and more alone with colleagues, put Greece at risk, while helped hardliners that were advocating Grexit.
This account of events has provoked anger and stunned disbelief among certain groups, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
