In a recently unveiled memoir, called Ithaki, the ex- prime minister Alexis Tsipras pulls no punches as he reflects on that chaotic period during Greece's financial crisis.
A Controversial Appointment
As per the ex-PM's account, he selected that unorthodox academic Varoufakis as his finance minister mainly because of the latter's global profile along with Varoufakis's highly compelling skills as a speaker.
“In reality, he was, in reality, more like a personality rather than an economic expert,” stated Tsipras.
Clashing Agendas
The former leader claims how his finance chief possessed his own motives which included promoting Varoufakis's publications as well as experimenting with his own game theories using Greece instead of truly advocating its financial survival.
He wrote how those negotiations to stave off bankruptcy became “not just a way to secure a better deal for the country. They became a test, an historic chance to prove the truth of his economic theories.”
High-Stakes Negotiations
During tense negotiations, the country found itself dangerously close to exiting the single currency area.
At stake was not only the country's destiny but also the severe austerity policies required in exchange for bailout funds by international creditors.
Failed Options
Efforts to find financing from other sources, including an urgent plea to Russia to purchase Greek bonds, were rejected.
Assisting Greece would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told Tsipras during their meeting.
Referendum Followed by U-Turn
In July 2015, those excoriating conditions were subjected to a popular referendum, an action that plunged the EU into further crisis of identity.
Even though the vote was carried decisively by those who opposed austerity, the prime minister had little option but to ignore the result then negotiate a bailout package with creditors which turned out to be even harsher.
Breaking Point
Tsipras claimed that he started questioning his finance minister quite early on.
“He was the public image of the talks, the figure who drew media attention, who graced the covers of magazines the world over … he gave the impression he was enjoying the spotlight.”
After Varoufakis proposed a contingency plan that included establishing a parallel currency as well as distributing vouchers to pensioners, Tsipras knew that it was game over questioning Varoufakis: “Are you serious?”
Enduring Rebuke
In the book, the author concludes that Varoufakis had proved himself “unsuitable for a deal demanding complex and sensitive handling.”
Tsipras further wrote how his confrontational approach left him more and more alone with colleagues, endangered the country, while helped hardliners that were advocating Grexit.
This retelling of history has been met with fury along with shock among certain groups, while Varoufakis has kept a deafening silence on the matter.
