In a recently unveiled autobiography, named Ithaki, the ex- premier Tsipras spares no criticism while he reflects on the chaotic period of Greece's debt drama.
An Unconventional Choice
According to the ex-PM's account, he chose that unorthodox economist Varoufakis as his treasury head mainly due to the latter's global profile and his “extremely attractive” skills as a public orator.
“In reality, he was, actually, more of a personality and less of an economist,” wrote Tsipras.
Clashing Priorities
Tsipras alleges that his finance chief had his own motives which included promoting his publications as well as testing out his own game theories using Greece rather than truly advocating its economic stability.
Tsipras explained how those negotiations to avoid bankruptcy were “not only a method of achieving improved terms for the country. They became a test, an historic opportunity to prove the validity of Varoufakis's theories.”
High-Stakes Negotiations
Amid rollercoaster discussions, Greece came perilously on the brink of leaving the eurozone.
On the line lay both the country's future but also the severe austerity measures demanded in return for rescue loans by international creditors.
Unsuccessful Options
Attempts to find financing elsewhere, including an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Assisting the indebted country was tantamount to tossing cash into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the harsh bailout terms were subjected to a public vote, a move that threw Europe into deeper existential crisis.
Even though the vote was carried resoundingly by those against austerity, Tsipras had little option to reject its outcome then agree to a bailout package from foreign lenders which turned out to be tougher.
Final Straw
Tsipras revealed how he began to doubt his finance minister quite early on.
“He was the public image of negotiation, the figure who attracted media attention, who appeared on the front pages of magazines the world over … he gave the impression he was enjoying the spotlight.”
When Varoufakis proposed a contingency plan involving creating a parallel currency and distributing coupons to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras concludes that Varoufakis demonstrated himself “unsuitable for an agreement demanding complex and sensitive management.”
Tsipras also claimed that Varoufakis's aggressive style made him more and more alone with colleagues, put Greece at risk, while helped hardliners that were pushing for a Greek exit from the euro.
This retelling of events has provoked fury along with stunned disbelief among certain groups, while the former minister has kept a deafening silence regarding these claims.
