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Andrej Babiš, the self-proclaimed billionaire who secured victory in the recent parliamentary vote, has declined to offload his extensive business interests, while insisting he will address a ethical dilemma that might prevent him from taking the position of prime minister.

Stance on Corporate Empire

Babiš, whose ANO party emerged victorious in the autumn vote but did not secure a majority in parliament, stated in a social media post that he will not sell his Agrofert conglomerate, which is active in agriculture, food processing, and chemicals.

“I have repeatedly said I will never sell Agrofert. I have repeatedly stated I will address the conflict of interest in compliance with Czech and EU regulations,” the billionaire commented. “This is different from selling a pastry in a bakery.”

President's Requirement

The Czech president, Petr Pavel, announced that the elderly political figure must clarify openly how he will remove conflicts of interest stemming from his corporate dealings before assuming the role of premier.

The national charter “clearly mandates the head of state to take into account the possible emergence of a conflict of interest and the ways to address it” when appointing cabinet members, the presidential administration noted.

The president “wants it to be clear in what precise manner Andrej Babiš will fulfil his statutory duties”, the statement said, noting that Pavel was ready to appoint Babiš as premier “immediately” once the issue was settled.

Corporate Activities and Legal Issues

Babiš's numerous companies, mostly under the Agrofert umbrella, operate in the nation and other regional countries, receiving millions of euros in domestic and European agricultural and other subsidies, as well as government deals.

Under national legislation, government ministers are barred from receiving state support or agreements. The anti-corruption organization Transparency International has indicated that to avoid a conflict of interest, Babiš must either divest, decline government deals, or stay out of government.

Previous Term and Present Intentions

Babiš said he would “follow the laws” if selected as premier, but declined to detail how in advance because the matter was “an extremely sensitive and personal matter for me, and the media will always criticise me regardless”.

During his initial tenure as premier, from 2017 to 2021, Babiš faced several court cases and an European inquiry over possible ethical issues. He temporarily moved his holdings into fiduciary arrangements, while keeping some influence over them.

A court and the European Commission both ruled that this was insufficient. Babiš stated last month that he was again the sole owner of Agrofert and insisted he was “taking steps” to avoid a conflict of interest, but refused to disclose details.

Coalition Deal and Foreign Policy Consequences

The billionaire populist has concluded a governing pact with two rightwing fringe parties, the ultra-conservative, Russia-friendly SPD, which has called for a referendum on leaving the EU, and the Motorists for Themselves, which has primarily campaigned against the EU’s environmental policy.

The new government, if approved, is likely to strengthen the populist movement in central and eastern Europe and might strain backing from Western nations for Ukraine – even though Babiš has contacted Ukraine’s president, Volodymyr Zelenskyy, to assure him of Czech support.

Pavel, who as president shares responsibility for foreign policy, also demanded that the government agenda add a statement on the official stance on Russia’s war in Ukraine, including a pledge to fulfilling Nato obligations.

The head of state has earlier stated he would not approve any cabinet candidates who might doubt the nation's EU and Nato commitments, a condition that the ultra-conservative party has indicated it will satisfy by proposing non-partisan experts.