In a freshly published memoir, named Ithaki, the former leader Tsipras does not hold back as he reflects on that chaotic era during Greece's financial crisis.
An Unconventional Appointment
According to the ex-PM's account, Tsipras selected that unorthodox academic Varoufakis as his treasury head mainly due to the latter's international reputation and Varoufakis's very persuasive abilities when it came to public orator.
“He was, truthfully, more of a star and less of an economist,” recalled the 51-year-old.
Clashing Agendas
Tsipras claims how his finance chief had his own motives that included promoting his publications as well as testing out his game theories on Greece rather than genuinely advocating its financial survival.
Tsipras noted how the negotiations to prevent bankruptcy became “not only a method of achieving a better deal for Greece. They were a test, a monumental opportunity to prove the truth of his ideas.”
Critical Talks
Amid rollercoaster discussions, Greece found itself perilously close to exiting the eurozone.
On the line was not only Greece's future and those punishing austerity measures demanded in return for rescue loans by international creditors.
Failed Options
Efforts to secure financing from other sources, such as an urgent appeal to Russia to buy Greek bonds, were rejected.
Helping Greece would be tantamount to tossing cash into the garbage, the Russian leader is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, those excoriating bailout terms were subjected to a public vote, a move that threw the EU into a further existential crisis.
Even though the referendum was won resoundingly by voters who opposed austerity, the prime minister was forced to ignore the result then negotiate a rescue deal from creditors that proved to be tougher.
Breaking Point
The ex-PM 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 globally … he gave the impression he relished his new role.”
When the minister proposed a contingency plan that included creating a parallel currency and distributing coupons to pensioners, the leader said he realised it was game over and asked him: “Is this for real?”
Enduring Criticism
Within the book, the author asserts how Varoufakis had proved himself to be “unsuitable for a deal that required complex and delicate management.”
He also wrote how his confrontational approach made him more and more alone among peers, put Greece at risk, and helped hawks who were advocating a Greek exit from the euro.
The account of events has been met with anger along with shock in some quarters, whereas the former minister has kept a deafening silence on the matter.
