In a freshly published memoir, called Ithaki, the former leader Tsipras does not hold back as he revisits the turbulent era during Greece's debt drama.
An Unconventional Choice
According to the ex-PM's version, he chose the unorthodox economist Varoufakis as the treasury head primarily due to his international reputation along with his highly compelling abilities as a communicator.
“He was, truthfully, more like a celebrity and less of an economic expert,” recalled the 51-year-old.
Conflicting Priorities
The former leader suggests that Varoufakis possessed his own motives which included promoting his publications as well as testing out his own economic models on Greece instead of truly advocating the country's financial survival.
Tsipras explained that the discussions to prevent insolvency were “not just a way to secure a better deal for the country. They were an experiment, a monumental opportunity to prove the validity of Varoufakis's ideas.”
High-Stakes Negotiations
Amid tense negotiations, Greece found itself dangerously on the brink of leaving the eurozone.
On the line was both the country's destiny but also those punishing austerity policies demanded in exchange for rescue loans from international creditors.
Failed Alternatives
Efforts to find financing from other sources, including an urgent appeal to the Kremlin to purchase Greek bonds, were rejected.
Helping Greece would be tantamount to tossing cash in the trash-can, the Russian leader is reputed to have informed Tsipras during their meeting.
Public Vote Followed by Reversal
In July 2015, those excoriating bailout terms were put to a public vote, an action that threw Europe into further crisis of identity.
Even though the referendum was won resoundingly by voters against the cuts, the prime minister had little option to reject its outcome and agree to a rescue deal with creditors which proved to be tougher.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who drew publicity, who graced the front pages of magazines the world over … it seemed he relished the spotlight.”
When Varoufakis proposed a contingency plan involving creating a parallel currency as well as distributing coupons to retirees, the leader said he realised that it was game over and asked Varoufakis: “Can you be serious?”
Enduring Criticism
Within the memoir, the author concludes how his former ally had proved himself to be “unsuitable for a deal that required intricate and delicate management.”
Tsipras also wrote that his aggressive approach left him more and more alone among peers, endangered the country, while assisted hardliners who were pushing for a Greek exit from the euro.
This retelling of history has been met with anger and shock in some quarters, whereas the former minister has so far kept a conspicuous quiet regarding these claims.
