Within his freshly published autobiography, named Ithaki, the former prime minister Tsipras pulls no punches while he revisits that turbulent period during Greece's financial crisis.
A Controversial Appointment
In the ex-PM's recollections, he selected that maverick economist Yanis Varoufakis as his finance minister mainly due to his international reputation and Varoufakis's very persuasive skills as a communicator.
“In reality, he was, truthfully, more of a celebrity rather than an economist,” wrote Tsipras.
Conflicting Priorities
Tsipras suggests that Varoufakis possessed his own motives which included advancing Varoufakis's publications as well as testing out his own game theories on Greece instead of genuinely fighting for its financial survival.
Tsipras noted that those discussions to avoid insolvency became “not just a method of achieving improved terms for Greece. They were an experiment, an historic opportunity to prove the validity of Varoufakis's ideas.”
Critical Negotiations
Amid volatile discussions, Greece found itself perilously close to exiting the single currency area.
At stake lay both Greece's destiny and those harsh austerity measures demanded in exchange for financial aid by international creditors.
Unsuccessful Alternatives
Efforts to secure funds from other sources, such as an urgent appeal to Russia to purchase Greek government bonds, were rejected.
Helping the indebted country was tantamount to throwing money into the garbage, Putin is reputed to have informed Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the punitive bailout terms were put to a public vote, a move that threw Europe into a deeper existential crisis.
Even though the referendum was won decisively by voters against the cuts, the prime minister had little option to ignore the result and agree to a bailout package from foreign lenders that proved to be even harsher.
Breaking Point
Tsipras claimed that he started questioning his finance minister relatively soon.
“He was the face of the talks, the man who attracted publicity, who appeared on the covers of publications globally … he gave the impression he relished his new role.”
After the minister proposed a backup strategy involving creating a parallel currency and distributing coupons to pensioners, the leader knew that it was the end questioning him: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras asserts how Varoufakis had proved himself “unfit for an agreement that required complex and delicate handling.”
Tsipras also claimed that Varoufakis's confrontational style left him more and more alone among peers, endangered the country, and assisted hardliners that were advocating Grexit.
The account of events has provoked anger and shock among certain groups, while the former minister has kept a deafening silence on the matter.