In a newly released autobiography, titled Ithaki, the ex- prime minister Tsipras pulls no punches as he reflects on that turbulent period of Greece's debt drama.
A Controversial Choice
In the ex-PM's recollections, Tsipras chose the unorthodox academic Varoufakis to be his treasury head largely due to the latter's global profile and Varoufakis's highly compelling skills as a public orator.
“In reality, he was, actually, more like a celebrity rather than an economist,” wrote the 51-year-old.
Clashing Priorities
The former leader claims how Varoufakis had a personal agenda that involved advancing his publications as well as testing out his economic models on Greece instead of truly fighting for its economic stability.
Tsipras wrote how the discussions to prevent insolvency were “not just a way to secure a better deal for Greece. They became an experiment, a monumental chance to demonstrate the truth of Varoufakis's ideas.”
Critical Negotiations
During rollercoaster discussions, Greece found itself perilously close to leaving the single currency area.
On the line was both Greece's destiny and those harsh cutbacks demanded in exchange for rescue loans from international creditors.
Failed Alternatives
Attempts to secure funds elsewhere, including an urgent plea to the Kremlin to purchase Greek government bonds, fell on stony ground.
Helping the indebted country would be tantamount to throwing money in the trash-can, the Russian leader is reputed to have informed his Greek counterpart in Moscow.
Referendum Followed by Reversal
That summer, those excoriating bailout terms were put to a public vote, a move which threw Europe into a further crisis of identity.
Even though the referendum was won decisively by those who opposed the cuts, the prime minister had little option to ignore the result then agree to a rescue deal with creditors that proved to be even harsher.
Breaking Point
Tsipras claimed that he started questioning Varoufakis quite early on.
“He was the face of negotiation, the figure who drew media attention, who appeared on the front pages of magazines the world over … he gave the impression he relished the spotlight.”
When the minister proposed a contingency plan that included establishing a parallel currency as well as issuing coupons to retirees, Tsipras said he realised that it was the end questioning him: “Is this for real?”
Enduring Rebuke
In the book, Tsipras concludes that his former ally demonstrated himself “unsuitable for an agreement that required complex and delicate handling.”
He also wrote how Varoufakis's confrontational approach made him more and more alone with colleagues, put Greece at risk, and assisted hardliners that were pushing for Grexit.
The account of history has been met with fury and stunned disbelief among certain groups, while the former minister has so far kept a conspicuous quiet on the matter.
