Within his newly released autobiography, titled Ithaki, the ex- leader Tsipras spares no criticism as he reflects on that turbulent era of Greece's financial crisis.
An Unconventional Choice
According to the ex-PM's version, he chose the maverick academic Varoufakis to be his finance minister mainly due to the latter's worldwide fame along with his highly compelling abilities as a speaker.
“In reality, he was, actually, more of a personality and less of an economic expert,” wrote the 51-year-old.
Conflicting Priorities
The former leader alleges that Varoufakis had a personal agenda that involved promoting Varoufakis's publications and testing out his own theories on Greece rather than truly advocating its economic stability.
He wrote that the talks to stave off insolvency became “not only a way of achieving improved terms for Greece. They became a test, an historic opportunity to demonstrate the validity of his economic theories.”
Critical Talks
During tense negotiations, the country came perilously close to exiting the single currency area.
On the line was both Greece's destiny and the punishing austerity measures required in return for rescue loans by foreign lenders.
Unsuccessful Options
Efforts to secure financing elsewhere, such as a desperate appeal to Russia to buy Greek government bonds, fell on stony ground.
Helping the indebted country was tantamount to throwing money in the trash-can, Putin is reputed to have informed Tsipras during their meeting.
Referendum and Reversal
That summer, the excoriating bailout terms were put to a popular referendum, an action which plunged Europe into further crisis of identity.
Although the referendum was won resoundingly by those against austerity, Tsipras had little option but to ignore the result then agree to a rescue deal from creditors which turned out to be more severe.
Final Straw
The ex-PM revealed that he began to doubt Varoufakis quite early on.
“He was the public image of negotiation, the figure who drew publicity, who appeared on the covers of magazines globally … it seemed he was enjoying his new role.”
When Varoufakis proposed a contingency plan that included establishing a parallel currency and distributing coupons to retirees, Tsipras said he realised that it was the end questioning Varoufakis: “Is this for real?”
Enduring Rebuke
Within the memoir, Tsipras asserts that Varoufakis had proved himself “unsuitable for a deal demanding complex and delicate handling.”
Tsipras also wrote how Varoufakis's confrontational approach left him increasingly isolated with colleagues, put Greece at risk, and helped hawks that were advocating a Greek exit from the euro.
The retelling of events has provoked anger and stunned disbelief among certain groups, whereas Varoufakis has so far kept a conspicuous quiet regarding these claims.
