Within his newly released autobiography, titled Ithaki, the former leader Tsipras pulls no punches while he examines the turbulent era during Greece's debt drama.
An Unconventional Appointment
As per the ex-PM's version, he appointed that maverick economist Varoufakis to be the treasury head primarily because of his global profile and Varoufakis's highly compelling abilities as a speaker.
“He was, truthfully, more like a star rather than an economist,” wrote Tsipras.
Conflicting Agendas
The former leader claims how Varoufakis possessed his own agenda which involved promoting Varoufakis's publications and experimenting with his own economic models on Greece rather than genuinely fighting for the country's economic stability.
He noted that the negotiations to stave off insolvency became “not only a way to secure improved terms for Greece. They became an experiment, a monumental opportunity to demonstrate the truth of his economic theories.”
High-Stakes Talks
Amid rollercoaster negotiations, the country came perilously close to exiting the single currency area.
At stake was not only Greece's destiny but also the harsh cutbacks required in exchange for rescue loans by foreign lenders.
Unsuccessful Options
Attempts to secure financing elsewhere, such as an urgent appeal to Russia to purchase Greek bonds, went unanswered.
Helping Greece was equivalent to throwing money into the garbage, Putin is reputed to have informed his Greek counterpart during their meeting.
Referendum Followed by U-Turn
That summer, the harsh conditions were put to a popular referendum, a move which threw the EU into a deeper existential crisis.
Even though the referendum was carried decisively by those who opposed austerity, Tsipras was forced to reject its outcome and agree to a bailout package with creditors which proved to be tougher.
Breaking Point
The ex-PM claimed how he started questioning Varoufakis quite early on.
“He was the face of the talks, the man who attracted media attention, who appeared on the covers of magazines globally … it seemed he was enjoying the spotlight.”
When the minister proposed a backup strategy that included establishing a secondary currency and distributing vouchers to retirees, Tsipras knew it was game over and asked Varoufakis: “Can you be serious?”
Enduring Criticism
In the memoir, Tsipras asserts that his former ally demonstrated himself “unsuitable for an agreement demanding intricate and delicate handling.”
He also claimed that Varoufakis's confrontational approach made him more and more alone with colleagues, endangered the country, while helped hawks who were pushing for a Greek exit from the euro.
This retelling of events has been met with fury along with shock among certain groups, while Varoufakis has kept a conspicuous quiet on the matter.
