In a recently unveiled personal account, called Ithaki, the former leader Alexis Tsipras pulls no punches while he reflects on the turbulent era of Greece's debt drama.
An Unconventional Appointment
As per the ex-PM's recollections, he chose the maverick economist Varoufakis to be the treasury head largely because of the latter's global profile and his very persuasive skills as a communicator.
“In reality, he was, actually, more like a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Agendas
Tsipras suggests that his finance chief had a personal motives that involved advancing his publications and testing out his own theories on the nation rather than genuinely fighting for the country's financial survival.
He wrote how the negotiations to stave off bankruptcy were “not just a way of achieving improved terms for Greece. They became an experiment, a monumental opportunity to demonstrate the truth of his ideas.”
Critical Talks
Amid tense negotiations, Greece came dangerously close to exiting the single currency area.
At stake was both Greece's destiny and the punishing austerity measures required in exchange for financial aid from international creditors.
Unsuccessful Alternatives
Efforts to secure funds from other sources, including a desperate plea to Russia to buy Greek bonds, fell on stony ground.
Helping the indebted country was tantamount to tossing cash into the garbage, Putin is reputed to have told Tsipras during their meeting.
Public Vote Followed by Reversal
That summer, the excoriating bailout terms were put to a public vote, an action that threw the EU into a further crisis of identity.
Although the vote was won resoundingly by those against austerity, Tsipras was forced but to ignore the result then agree to a rescue deal with creditors which turned out to be tougher.
Breaking Point
Tsipras claimed how he started questioning Varoufakis quite early on.
“He was the face of the talks, the man who drew media attention, who graced the front pages of magazines globally … he gave the impression he relished his new role.”
After Varoufakis outlined a backup strategy that included creating a secondary currency and issuing coupons to retirees, Tsipras said he realised that it was game over questioning him: “Is this for real?”
Lasting Criticism
In the book, Tsipras concludes how Varoufakis demonstrated himself “unsuitable for an agreement that required complex and delicate handling.”
Tsipras also claimed how his confrontational approach left him more and more alone with colleagues, endangered the country, and helped hardliners who were pushing for a Greek exit from the euro.
The account of events has been met with fury and stunned disbelief in some quarters, while the former minister has maintained a conspicuous quiet regarding these claims.
