Within his newly released autobiography, called Ithaki, the former premier Alexis Tsipras spares no criticism as he reflects on that chaotic period during Greece's economic turmoil.
An Unconventional Choice
According to Tsipras's recollections, he selected the unorthodox economist Varoufakis to be the treasury head primarily because of his international reputation and his very persuasive abilities as a speaker.
“He was, in reality, more like a personality and less of an economic expert,” recalled the 51-year-old.
Clashing Priorities
Tsipras suggests that his finance chief had his own agenda which included advancing his books and testing out his own game theories using the nation rather than genuinely fighting for the country's financial survival.
He explained that those talks to avoid insolvency became “not only a way to secure improved terms for the country. They were an experiment, an historic opportunity to prove the truth of Varoufakis's economic theories.”
High-Stakes Talks
During rollercoaster negotiations, the country found itself dangerously close to leaving the single currency area.
On the line lay not only the country's destiny and those harsh austerity policies demanded in return for bailout funds from foreign lenders.
Unsuccessful Alternatives
Efforts to secure funds elsewhere, including an urgent appeal to the Kremlin to buy Greek government bonds, were rejected.
Helping the indebted country would be equivalent to throwing money into the garbage, the Russian leader is reputed to have told his Greek counterpart during their meeting.
Public Vote Followed by Reversal
In July 2015, the punitive conditions were put to a public vote, an action that threw Europe into a further crisis of identity.
Although the vote was won decisively by those who opposed austerity, the prime minister was forced but to ignore the result and agree to a bailout package with foreign lenders which proved to be tougher.
Final Straw
The ex-PM revealed that he started questioning his finance minister relatively soon.
“Varoufakis was the face of the talks, the man who attracted publicity, who graced the covers of magazines globally … he gave the impression he relished his new role.”
After the minister outlined a contingency plan involving establishing a parallel currency as well as distributing vouchers to retirees, Tsipras knew that it was game over questioning Varoufakis: “Can you be serious?”
Lasting Criticism
Within the memoir, the author asserts how his former ally demonstrated himself “unfit for an agreement that required complex and delicate handling.”
Tsipras further claimed that Varoufakis's aggressive approach made him more and more alone among peers, put Greece at risk, and assisted hardliners who were advocating a Greek exit from the euro.
This retelling of history has been met with fury and shock in some quarters, whereas Varoufakis has so far kept a conspicuous quiet on the matter.
