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Andrej Babiš, the self-styled billionaire that won the recent parliamentary vote, has declined to offload his extensive corporate assets, while asserting he will resolve a conflict of interest that might prevent him from taking the role of prime minister.

Position on Business Holdings

Babiš, whose ANO party emerged victorious in the autumn vote but did not secure a majority in parliament, declared in a social media post that he will not divest his Agrofert conglomerate, which is active in agriculture, food production, and chemical industries.

“I have repeatedly said I will not sell Agrofert. I have repeatedly said I will address the conflict of interest in compliance with national and EU regulations,” the billionaire commented. “This is different from selling a roll in a bakeshop.”

President's Demand

The Czech president, Petr Pavel, stated that the 71-year-old political figure must publicly explain how he will eliminate ethical conflicts stemming from his corporate dealings before assuming the role of premier.

The Czech constitution “clearly mandates the president to take into account the possible emergence of a ethical issue and the possibilities for its resolution” when appointing cabinet members, the presidential administration noted.

The president “wants it to be clear in what precise manner Andrej Babiš will fulfil his constitutional and legal obligations”, the statement said, stating that Pavel was prepared to designate Babiš as premier “immediately” once the matter was resolved.

Business Operations and Regulatory Concerns

Babiš's numerous firms, primarily under the Agrofert group, operate in the nation and other regional countries, benefiting from substantial funds in national and EU farming and other grants, as well as government deals.

Under national legislation, government ministers are barred from obtaining state support or agreements. The ethics watchdog Transparency International has indicated that to prevent a conflict of interest, Babiš must either sell, decline public contracts, or stay out of government.

Past Term and Present Intentions

Babiš affirmed he would “abide by the regulations” if selected as prime minister, but declined to detail how in advance because the matter was “an extremely sensitive and personal matter for me, and the media will invariably criticise me anyway”.

During his first term as prime minister, from 2017 to 2021, Babiš encountered several legal battles and an EU investigation over possible ethical issues. He placed his holdings into fiduciary arrangements, while retaining some influence over them.

A judicial body and the European Commission both determined that this was insufficient. Babiš stated last month that he was once more the sole owner of Agrofert and insisted he was “taking steps” to prevent a ethical problem, but refused to reveal specifics.

Governing Agreement and Foreign Policy Consequences

The billionaire populist has signed a governing pact with two rightwing fringe parties, the far-right, Russia-friendly SPD, which has advocated a public vote on leaving the EU, and the Motorists for Themselves, which has primarily campaigned against the EU’s Green Deal.

The new government, if confirmed, is expected to strengthen the populist movement in the region and might challenge backing from Western nations for Ukraine – even though Babiš has contacted Ukraine’s president, Volodymyr Zelenskyy, to assure him of the nation's backing.

Pavel, who as head of state has a role for international relations, also demanded that the coalition’s programme include a statement on the government’s position on the conflict in Ukraine, including a pledge to meeting Nato obligations.

The head of state has previously said he would not approve any ministerial nominees who might doubt the Czech Republic’s international alliances, a requirement that the far-right SPD has indicated it will satisfy by proposing non-partisan experts.