Within his freshly published memoir, called Ithaki, the former leader Tsipras pulls no punches while he reflects on that turbulent era during Greece's debt drama.
A Controversial Choice
In the ex-PM's recollections, he chose that unorthodox academic Varoufakis as the finance minister mainly because of his global profile and Varoufakis's highly compelling abilities when it came to public orator.
“He was, in reality, more like a star rather than an economist,” recalled the 51-year-old.
Conflicting Priorities
Tsipras claims how Varoufakis had a personal motives which included promoting his publications and testing out his game theories using Greece rather than truly advocating the country's economic stability.
He wrote how those talks to stave off insolvency were “not only a way to secure improved terms for Greece. They became a test, a monumental opportunity to prove the truth of his ideas.”
Critical Talks
During rollercoaster discussions, Greece found itself dangerously close to exiting the eurozone.
At stake was both the country's future but also the harsh cutbacks required in return for rescue loans by international creditors.
Unsuccessful Alternatives
Efforts to secure financing from other sources, including an urgent appeal to the Kremlin to purchase Greek bonds, went unanswered.
Helping Greece would be equivalent to tossing cash into the garbage, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by U-Turn
That summer, the punitive conditions were put to a popular referendum, a move that threw Europe into deeper crisis of identity.
Even though the referendum was carried resoundingly by voters against austerity, the prime minister had little option but to ignore the result and agree to a rescue deal with creditors that turned out to be more severe.
Final Straw
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the man who attracted media attention, who appeared on the covers of publications globally … it seemed he was enjoying the spotlight.”
When Varoufakis proposed a backup strategy that included creating a secondary currency and issuing coupons to retirees, Tsipras said he realised it was the end and asked Varoufakis: “Can you be serious?”
Enduring Rebuke
Within the book, Tsipras asserts how his former ally demonstrated himself “unsuitable for a deal that required complex and delicate management.”
He further claimed that his confrontational style made him more and more alone with colleagues, put Greece at risk, and helped hardliners that were advocating a Greek exit from the euro.
This account of history has provoked fury and shock among certain groups, whereas the former minister has so far kept a deafening silence on the matter.
