Within his recently unveiled personal account, titled Ithaki, the ex- leader Tsipras pulls no punches as he reflects on that turbulent era during Greece's debt drama.
A Controversial Choice
In the ex-PM's account, he appointed the unorthodox academic Varoufakis to be the finance minister mainly because of the latter's international reputation along with his “extremely attractive” skills as a public orator.
“In reality, he was, in reality, more like a celebrity rather than an economic expert,” recalled Tsipras.
Conflicting Agendas
Tsipras suggests that his finance chief had his own agenda that involved promoting his books and testing out his economic models on the nation rather than genuinely fighting for the country's financial survival.
He noted how the negotiations to avoid insolvency became “not just a method of achieving a better deal for the country. They were an experiment, an historic opportunity to prove the truth of his ideas.”
High-Stakes Talks
During tense negotiations, Greece came dangerously close to exiting the eurozone.
At stake lay both the country's destiny and those harsh austerity policies demanded in return for bailout funds from foreign lenders.
Unsuccessful Options
Attempts to secure funds elsewhere, such as a desperate appeal to Russia to purchase Greek government bonds, went unanswered.
Assisting the indebted country would be tantamount to tossing cash into the garbage, Putin reportedly told his Greek counterpart in Moscow.
Referendum and U-Turn
In July 2015, the harsh bailout terms were put to a public vote, an action which threw Europe into a deeper existential crisis.
Even though the referendum was carried decisively by voters against the cuts, Tsipras had little option but to reject its outcome and agree to a rescue deal from foreign lenders which proved to be even harsher.
Breaking Point
The ex-PM revealed that he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who drew media attention, who appeared on the covers of magazines the world over … it seemed he relished the spotlight.”
After Varoufakis outlined a contingency plan that included establishing a secondary currency and distributing coupons to retirees, Tsipras knew that it was game over and asked Varoufakis: “Is this for real?”
Lasting Rebuke
Within the memoir, Tsipras asserts how Varoufakis had proved himself “unsuitable for a deal that required intricate and delicate management.”
Tsipras further wrote how his confrontational approach left him increasingly isolated with colleagues, endangered the country, while helped hardliners who were pushing for a Greek exit from the euro.
The retelling of history has been met with fury and stunned disbelief among certain groups, whereas the former minister has kept a conspicuous quiet on the matter.
