In a freshly published memoir, titled Ithaki, the former premier Tsipras spares no criticism as he reflects on that turbulent era during Greece's financial crisis.
A Controversial Appointment
In Tsipras's account, Tsipras appointed that unorthodox economist Varoufakis to be his treasury head largely due to his international reputation and Varoufakis's very persuasive skills when it came to public orator.
“He was, truthfully, more of a celebrity rather than an economic expert,” wrote the 51-year-old.
Clashing Priorities
The former leader alleges that his finance chief had his own motives that included promoting Varoufakis's books as well as experimenting with his own theories using Greece instead of genuinely fighting for its financial survival.
He noted how those discussions to prevent bankruptcy were “not only a way of achieving a better deal for Greece. They were a test, an historic chance to demonstrate the truth of Varoufakis's theories.”
Critical Talks
Amid tense negotiations, the country came dangerously close to leaving the single currency area.
At stake lay not only the country's future but also those severe cutbacks required in return for rescue loans from foreign lenders.
Unsuccessful Options
Attempts to find funds from other sources, such as a desperate appeal to Russia to buy Greek government bonds, went unanswered.
Helping Greece was tantamount to throwing money into the garbage, Putin is reputed to have told his Greek counterpart in Moscow.
Public Vote Followed by U-Turn
In July 2015, the punitive bailout terms were subjected to a public vote, a move which threw Europe into a deeper existential crisis.
Although the referendum was carried decisively by voters who opposed austerity, the prime minister had little option to reject its outcome and negotiate a bailout package from foreign lenders which turned out to be even harsher.
Breaking Point
Tsipras revealed how he began to doubt his finance minister quite early on.
“Varoufakis was the face of the talks, the figure who drew publicity, who graced the covers of magazines the world over … it seemed he was enjoying the spotlight.”
After the minister outlined a contingency plan involving establishing a secondary currency as well as distributing coupons to pensioners, the leader knew that it was the end questioning Varoufakis: “Can you be serious?”
Lasting Rebuke
Within the memoir, Tsipras concludes that Varoufakis had proved himself to be “unsuitable for a deal that required complex and delicate management.”
Tsipras also claimed how Varoufakis's aggressive style left him increasingly isolated among peers, put Greece at risk, while helped hawks that were advocating Grexit.
The account of events has been met with fury and shock in some quarters, whereas the former minister has kept a conspicuous quiet regarding these claims.
