In a freshly published personal account, called Ithaki, the ex- prime minister Tsipras spares no criticism as he examines the chaotic period of Greece's economic turmoil.
An Unconventional Choice
In the ex-PM's version, he selected that unorthodox academic Varoufakis as the treasury head largely due to the latter's worldwide fame and his very persuasive skills when it came to public orator.
“In reality, he was, actually, more like a celebrity and less of an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests that Varoufakis possessed a personal motives which included promoting Varoufakis's books and experimenting with his game theories using the nation rather than genuinely fighting for its economic stability.
He wrote how those negotiations to avoid insolvency were “not only a way to secure improved terms for Greece. They became an experiment, an historic chance to prove the truth of his ideas.”
High-Stakes Talks
Amid tense discussions, Greece found itself dangerously close to exiting the single currency area.
At stake was not only Greece's future and those punishing cutbacks required in exchange for rescue loans from foreign lenders.
Unsuccessful Alternatives
Efforts to secure financing from other sources, including an urgent appeal to the Kremlin to purchase Greek government bonds, were rejected.
Helping the indebted country would be equivalent to tossing cash in the trash-can, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, those excoriating conditions were subjected to a public vote, an action that plunged Europe into further crisis of identity.
Although the referendum was won decisively by voters who opposed austerity, Tsipras had little option but to reject its outcome and negotiate a rescue deal with creditors that proved to be even harsher.
Breaking Point
The ex-PM revealed that he began to doubt his finance minister quite early on.
“Varoufakis was the face of negotiation, the figure who attracted publicity, who graced the covers of publications globally … he gave the impression he was enjoying his new role.”
After Varoufakis proposed a backup strategy involving establishing a parallel currency as well as issuing vouchers to retirees, the leader said he realised it was game over and asked him: “Are you serious?”
Lasting Criticism
Within the memoir, Tsipras concludes that Varoufakis had proved himself to be “unsuitable for an agreement that required complex and delicate handling.”
He also claimed how his confrontational approach made him increasingly isolated among peers, put Greece at risk, and assisted hawks that were advocating a Greek exit from the euro.
This retelling of history has provoked anger and shock in some quarters, while Varoufakis has so far kept a deafening silence on the matter.
