In a newly released personal account, called Ithaki, the ex- leader Tsipras spares no criticism while he examines the turbulent period during Greece's financial crisis.
A Controversial Appointment
According to Tsipras's account, he appointed that maverick economist Yanis Varoufakis to be his treasury head largely due to his global profile and his highly compelling skills as a public orator.
“In reality, he was, actually, more like a star rather than an economic expert,” recalled Tsipras.
Conflicting Priorities
Tsipras suggests how his finance chief had his own motives which involved advancing Varoufakis's books and testing out his own theories using the nation rather than genuinely advocating its financial survival.
He wrote how those discussions to prevent bankruptcy became “not only a way to secure improved terms for Greece. They became a test, a monumental chance to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
During tense negotiations, Greece found itself perilously close to exiting the eurozone.
On the line was both Greece's future but also the severe austerity measures demanded in exchange for bailout funds from international creditors.
Unsuccessful Options
Attempts to find funds from other sources, such as a desperate plea to Russia to purchase Greek bonds, fell on stony ground.
Assisting Greece would be equivalent to tossing cash in the trash-can, Putin is reputed to have told Tsipras during their meeting.
Public Vote Followed by U-Turn
That summer, those harsh conditions were put to a popular referendum, an action which plunged the EU into a deeper crisis of identity.
Even though the vote was won resoundingly by those who opposed the cuts, Tsipras had little option but to ignore the result and agree to a rescue deal from creditors that turned out to be even harsher.
Final Straw
Tsipras revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the public image of the talks, the figure who attracted publicity, who appeared on the front pages of magazines the world over … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy that included creating a secondary currency as well as distributing vouchers to retirees, the leader knew that it was the end and asked him: “Are you serious?”
Lasting Criticism
In the memoir, the author asserts that his former ally had proved himself “unsuitable for an agreement that required complex and delicate management.”
Tsipras also wrote how his confrontational style made him more and more alone with colleagues, put Greece at risk, and assisted hawks who were pushing for Grexit.
This retelling of history has been met with anger and shock in some quarters, whereas the former minister has so far maintained a deafening silence regarding these claims.
