In a freshly published personal account, titled Ithaki, the former premier Alexis Tsipras spares no criticism as he reflects on that turbulent period during Greece's economic turmoil.
A Controversial Appointment
As per Tsipras's recollections, Tsipras chose the unorthodox academic Yanis Varoufakis to be the treasury head primarily because of the latter's international reputation along with Varoufakis's “extremely attractive” abilities when it came to communicator.
“In reality, he was, actually, more like a personality rather than an economist,” stated Tsipras.
Clashing Priorities
The former leader suggests that his finance chief possessed a personal motives that involved promoting Varoufakis's publications and testing out his own theories on the nation instead of truly advocating its financial survival.
He explained how the discussions to avoid insolvency became “not only a way to secure a better deal for Greece. They were an experiment, an historic opportunity to demonstrate the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During tense discussions, the country found itself dangerously close to leaving the eurozone.
On the line lay not only the country's future and the punishing austerity measures demanded in return for financial aid by foreign lenders.
Unsuccessful Alternatives
Efforts to secure financing from other sources, such as an urgent plea to the Kremlin to buy Greek government bonds, went unanswered.
Helping the indebted country would be equivalent to tossing cash in the trash-can, Putin is reputed to have informed Tsipras in Moscow.
Referendum Followed by U-Turn
That summer, the excoriating bailout terms were put to a public vote, a move which threw the EU into deeper existential crisis.
Even though the vote was carried resoundingly by those who opposed the cuts, Tsipras was forced but to ignore the result then agree to a rescue deal from creditors which turned out to be even harsher.
Final Straw
Tsipras claimed how he started questioning his finance minister relatively soon.
“Varoufakis was the face of negotiation, the man who drew publicity, who appeared on the covers of publications the world over … it seemed he relished the spotlight.”
After Varoufakis proposed a backup strategy that included creating a secondary currency and issuing coupons to pensioners, the leader knew that it was game over and asked Varoufakis: “Is this for real?”
Enduring Rebuke
Within the book, Tsipras asserts how Varoufakis had proved himself “unfit for a deal demanding intricate and sensitive handling.”
He further claimed that his aggressive approach made him more and more alone among peers, endangered the country, while helped hawks who were pushing for Grexit.
The account of history has been met with anger and stunned disbelief in some quarters, while the former minister has kept a conspicuous quiet on the matter.
