In a recently unveiled personal account, named Ithaki, the ex- premier Tsipras spares no criticism while he revisits the turbulent period during Greece's debt drama.
An Unconventional Choice
In the ex-PM's recollections, Tsipras selected the unorthodox economist Varoufakis to be the treasury head primarily because of the latter's worldwide fame along with his very persuasive skills as a public orator.
“In reality, he was, actually, more of a personality and less of an economist,” wrote the 51-year-old.
Conflicting Agendas
The former leader alleges that Varoufakis had his own motives which included advancing Varoufakis's publications and testing out his own economic models on the nation instead of truly advocating its financial survival.
He wrote how the talks to prevent bankruptcy became “not just a method of achieving improved terms for the country. They were an experiment, an historic opportunity to demonstrate the validity of his economic theories.”
Critical Talks
Amid rollercoaster discussions, the country found itself perilously close to leaving the single currency area.
At stake was both Greece's destiny and those punishing cutbacks demanded in return for bailout funds by international creditors.
Unsuccessful Alternatives
Efforts to find funds elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, fell on stony ground.
Helping Greece was equivalent to throwing money in the trash-can, the Russian leader is reputed to have told his Greek counterpart in Moscow.
Public Vote and Reversal
That summer, the excoriating conditions were put to a public vote, an action that plunged Europe into a deeper existential crisis.
Even though the vote was carried resoundingly by those who opposed austerity, Tsipras was forced to reject its outcome and negotiate a bailout package from creditors that proved to be more severe.
Breaking Point
Tsipras revealed how he began to doubt Varoufakis quite early on.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who graced the covers of magazines globally … he gave the impression he was enjoying the spotlight.”
After Varoufakis proposed a backup strategy involving creating a parallel currency as well as issuing vouchers to pensioners, Tsipras said he realised it was the end and asked him: “Are you serious?”
Enduring Rebuke
In the memoir, the author asserts how Varoufakis had proved himself to be “unfit for an agreement that required complex and delicate handling.”
He further claimed how his confrontational approach left him more and more alone with colleagues, put Greece at risk, while helped hardliners that were pushing for a Greek exit from the euro.
This retelling of events has provoked fury along with stunned disbelief in some quarters, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
