In a recently unveiled memoir, named Ithaki, the ex- prime minister Tsipras spares no criticism as he reflects on that chaotic period during Greece's debt drama.
An Unconventional Appointment
In the ex-PM's recollections, he selected the maverick academic Yanis Varoufakis to be his treasury head mainly because of his global profile along with his highly compelling abilities as a speaker.
“He was, truthfully, more like a personality rather than an economist,” wrote Tsipras.
Clashing Agendas
Tsipras suggests how Varoufakis had a personal motives which involved promoting his books and testing out his own economic models using Greece rather than truly fighting for the country's financial survival.
He explained that the discussions to stave off bankruptcy were “not only a way of achieving improved terms for the country. They became a test, a monumental opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
Amid tense negotiations, the country came perilously on the brink of leaving the eurozone.
On the line was not only Greece's destiny and the punishing cutbacks required in return for rescue loans from foreign lenders.
Unsuccessful Options
Efforts to secure financing from other sources, such as a desperate plea to Russia to purchase Greek bonds, were rejected.
Assisting the indebted country was equivalent to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, those punitive conditions were subjected to a public vote, a move that threw the EU into further existential crisis.
Even though the referendum was carried decisively by those against austerity, Tsipras was forced but to reject its outcome then negotiate a rescue deal from foreign lenders that proved to be tougher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who attracted publicity, who graced the covers of publications the world over … he gave the impression he was enjoying the spotlight.”
After the minister outlined a contingency plan involving creating a parallel currency and distributing vouchers to pensioners, the leader knew it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
Within the memoir, the author asserts that Varoufakis had proved himself “unfit for an agreement demanding complex and sensitive handling.”
Tsipras also wrote how his aggressive approach made him increasingly isolated among peers, put Greece at risk, while assisted hardliners that were advocating Grexit.
The retelling of events has been met with fury and stunned disbelief in some quarters, while Varoufakis has maintained a deafening silence on the matter.
