Within his newly released memoir, named Ithaki, the ex- leader Tsipras pulls no punches as he reflects on the turbulent period of Greece's debt drama.
An Unconventional Choice
According to Tsipras's recollections, Tsipras selected the maverick academic Varoufakis to be his finance minister mainly due to his international reputation along with Varoufakis's very persuasive skills when it came to speaker.
“In reality, he was, in reality, more like a celebrity and less of an economic expert,” recalled Tsipras.
Clashing Priorities
The former leader alleges that his finance chief had his own agenda which included promoting Varoufakis's books and testing out his own game theories using Greece rather than genuinely advocating the country's economic stability.
He wrote that those negotiations to prevent insolvency were “not just a way to secure a better deal for the country. They were an experiment, an historic chance to demonstrate the validity of Varoufakis's ideas.”
High-Stakes Talks
Amid tense discussions, Greece came dangerously on the brink of exiting the single currency area.
At stake was both Greece's destiny and those punishing austerity measures demanded in exchange for financial aid by international creditors.
Failed Options
Efforts to secure financing elsewhere, including an urgent appeal to the Kremlin to buy Greek bonds, went unanswered.
Assisting Greece would be tantamount to tossing cash into the garbage, Putin reportedly told his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the harsh conditions were subjected to a popular referendum, an action which plunged the EU into further crisis of identity.
Although the vote was won resoundingly by those who opposed the cuts, Tsipras was forced to ignore the result then agree to a rescue deal from creditors which turned out to be tougher.
Breaking Point
The ex-PM claimed that he began to doubt Varoufakis relatively soon.
“Varoufakis was the public image of the talks, the man who attracted media attention, who appeared on the covers of publications the world over … it seemed he was enjoying his new role.”
When Varoufakis proposed a backup strategy involving establishing a parallel currency as well as distributing coupons to pensioners, Tsipras knew it was the end and asked Varoufakis: “Are you serious?”
Enduring Rebuke
In the book, the author concludes how his former ally had proved himself “unsuitable for a deal demanding intricate and delicate handling.”
He further claimed how his confrontational approach made him increasingly isolated among peers, put Greece at risk, and assisted hawks who were advocating a Greek exit from the euro.
The retelling of events has provoked fury along with shock in some quarters, while Varoufakis has maintained a deafening silence regarding these claims.
