In a newly released memoir, named Ithaki, the former premier Alexis Tsipras spares no criticism while he reflects on that turbulent period of Greece's financial crisis.
An Unconventional Appointment
As per the ex-PM's version, Tsipras appointed the unorthodox academic Yanis Varoufakis as the treasury head primarily due to his global profile and his highly compelling abilities as a public orator.
“In reality, he was, actually, more like a celebrity and less of an economic expert,” wrote Tsipras.
Conflicting Priorities
The former leader suggests how his finance chief had his own agenda that included advancing his publications and experimenting with his own economic models using Greece rather than genuinely fighting for the country's economic stability.
Tsipras explained how the negotiations to prevent insolvency were “not just a way to secure improved terms for the country. They became a test, a monumental chance to prove the truth of Varoufakis's ideas.”
High-Stakes Negotiations
During tense negotiations, Greece came dangerously close to leaving the single currency area.
On the line lay not only Greece's destiny and the harsh cutbacks demanded in return for bailout funds from international creditors.
Unsuccessful Options
Efforts to find funds elsewhere, such as an urgent appeal to Russia to buy Greek government bonds, went unanswered.
Assisting Greece would be equivalent to tossing cash in the trash-can, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Public Vote and U-Turn
In July 2015, those excoriating conditions were put to a public vote, an action which threw Europe into deeper crisis of identity.
Even though the vote was carried resoundingly by voters who opposed austerity, Tsipras had little option to reject its outcome then agree to a rescue deal from foreign lenders which turned out to be even harsher.
Breaking Point
The ex-PM claimed that he started questioning Varoufakis relatively soon.
“Varoufakis was the face of negotiation, the figure who attracted media attention, who appeared on the covers of publications globally … it seemed he relished his new role.”
After the minister proposed a backup strategy involving establishing a parallel currency and issuing vouchers to pensioners, the leader knew it was game over and asked Varoufakis: “Is this for real?”
Lasting Rebuke
Within the memoir, Tsipras concludes that his former ally demonstrated himself to be “unsuitable for a deal demanding intricate and sensitive handling.”
Tsipras also wrote how Varoufakis's confrontational style made him more and more alone with colleagues, endangered the country, while assisted hawks who were pushing for Grexit.
This account of events has provoked fury along with shock among certain groups, whereas Varoufakis has kept a conspicuous quiet regarding these claims.
