In a newly released memoir, called Ithaki, the former leader Alexis Tsipras spares no criticism as he reflects on that chaotic period during Greece's financial crisis.
An Unconventional Choice
According to Tsipras's version, he selected that maverick academic Varoufakis as the finance minister primarily due to the latter's global profile along with his very persuasive skills when it came to public orator.
“In reality, he was, actually, more of a star and less of an economic expert,” stated the 51-year-old.
Conflicting Agendas
Tsipras claims that Varoufakis possessed his own motives which included advancing his publications and experimenting with his own theories using Greece rather than truly fighting for its economic stability.
Tsipras explained how those discussions to stave off insolvency became “not only a way to secure improved terms for Greece. They became a test, a monumental chance to prove the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
During volatile negotiations, the country came perilously close to exiting the single currency area.
On the line lay not only the country's future but also the punishing cutbacks demanded in exchange for bailout funds by international creditors.
Failed Options
Attempts to find funds from other sources, such as an urgent appeal to the Kremlin to buy Greek bonds, went unanswered.
Helping Greece was equivalent to throwing money into the garbage, Putin reportedly told Tsipras during their meeting.
Referendum Followed by Reversal
That summer, those excoriating conditions were subjected to a popular referendum, an action that plunged the EU into further existential crisis.
Although the referendum was won resoundingly by those who opposed austerity, the prime minister was forced but to ignore the result then negotiate a bailout package with creditors which proved to be tougher.
Breaking Point
Tsipras claimed how he began to doubt his finance minister relatively soon.
“He was the face of the talks, the man who attracted publicity, who graced the front pages of magazines globally … it seemed he was enjoying his new role.”
After Varoufakis outlined a contingency plan that included creating a secondary currency and issuing vouchers to pensioners, Tsipras said he realised that it was game over questioning Varoufakis: “Is this for real?”
Lasting Rebuke
Within the memoir, the author concludes that Varoufakis had proved himself to be “unsuitable for a deal demanding intricate and sensitive handling.”
Tsipras also claimed that his confrontational approach made him more and more alone among peers, put Greece at risk, and assisted hawks who were pushing for Grexit.
This account of events has been met with anger and stunned disbelief in some quarters, while Varoufakis has so far maintained a deafening silence regarding these claims.