Within his newly released autobiography, called Ithaki, the ex- premier Tsipras spares no criticism while he reflects on the turbulent period of Greece's financial crisis.
A Controversial Appointment
In Tsipras's version, Tsipras selected the unorthodox academic Yanis Varoufakis as the finance minister largely due to the latter's worldwide fame and Varoufakis's highly compelling skills when it came to speaker.
“In reality, he was, actually, more like a celebrity and less of an economist,” recalled Tsipras.
Conflicting Priorities
The former leader claims how his finance chief possessed a personal agenda which included promoting Varoufakis's books and experimenting with his game theories on the nation instead of truly advocating its economic stability.
He noted how the discussions to stave off insolvency became “not just a way of achieving improved terms for the country. They became a test, an historic chance to demonstrate the validity of Varoufakis's theories.”
High-Stakes Negotiations
During volatile discussions, Greece found itself perilously on the brink of exiting the single currency area.
On the line lay not only the country's future and those severe austerity policies required in return for financial aid from foreign lenders.
Failed Options
Attempts to secure financing elsewhere, including an urgent plea to Russia to buy Greek government bonds, fell on stony ground.
Assisting the indebted country would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Referendum and U-Turn
That summer, the harsh conditions were subjected to a popular referendum, a move which threw Europe into deeper existential crisis.
Even though the referendum was won decisively by voters against the cuts, Tsipras had little option but to reject its outcome and agree to a rescue deal from creditors that turned out to be even harsher.
Final Straw
Tsipras revealed that he started questioning his finance minister quite early on.
“Varoufakis was the public image of negotiation, the man who drew media attention, who appeared on the covers of magazines globally … it seemed he was enjoying the spotlight.”
When Varoufakis outlined a contingency plan involving establishing a parallel currency as well as distributing vouchers to pensioners, Tsipras knew it was the end and asked him: “Is this for real?”
Enduring Criticism
In the book, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for a deal that required intricate and delicate management.”
Tsipras further claimed how Varoufakis's aggressive style left him increasingly isolated with colleagues, put Greece at risk, while assisted hardliners that were pushing for a Greek exit from the euro.
This account of history has provoked fury and shock among certain groups, while Varoufakis has kept a deafening silence on the matter.
