Within his recently unveiled personal account, called Ithaki, the former leader Alexis Tsipras pulls no punches while he examines the turbulent period during Greece's financial crisis.
An Unconventional Choice
According to Tsipras's account, he selected that unorthodox academic Varoufakis as his treasury head largely because of the latter's international reputation and his “extremely attractive” abilities as a speaker.
“He was, actually, more of a personality and less of an economic expert,” wrote the 51-year-old.
Clashing Agendas
The former leader suggests how Varoufakis had a personal motives which involved promoting Varoufakis's books and experimenting with his theories on the nation instead of truly fighting for its financial survival.
Tsipras noted how those discussions to avoid bankruptcy became “not only a method to secure a better deal for the country. They became an experiment, an historic chance to prove the validity of his theories.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself perilously close to exiting the single currency area.
At stake lay not only Greece's destiny but also the severe cutbacks required in exchange for bailout funds by international creditors.
Failed Options
Efforts to find funds elsewhere, including an urgent appeal to Russia to buy Greek bonds, fell on stony ground.
Assisting Greece was equivalent to throwing money into the garbage, Putin is reputed to have told his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, those harsh bailout terms were put to a popular referendum, a move that plunged the EU into further existential crisis.
Although the referendum was won decisively by voters against the cuts, the prime minister was forced to reject its outcome then agree to a bailout package from foreign lenders which proved to be tougher.
Breaking Point
Tsipras claimed that he started questioning Varoufakis quite early on.
“Varoufakis was the public image of negotiation, the man who drew media attention, who graced the front pages of magazines the world over … he gave the impression he relished his new role.”
When Varoufakis proposed a contingency plan involving establishing a secondary currency as well as issuing vouchers to pensioners, the leader knew it was the end and asked him: “Are you serious?”
Enduring Criticism
In the memoir, Tsipras concludes that his former ally demonstrated himself to be “unfit for a deal that required intricate and delicate handling.”
He further wrote how Varoufakis's confrontational style left him more and more alone among peers, put Greece at risk, and assisted hawks who were advocating a Greek exit from the euro.
This retelling of history has provoked fury along with shock in some quarters, while the former minister has so far kept a conspicuous quiet on the matter.
