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Andrej Babiš, the self-styled billionaire who secured victory in the recent Czech election, has refused to sell his vast corporate assets, while insisting he will resolve a conflict of interest that might block him from assuming the position of prime minister.

Stance on Corporate Empire

Babiš, whose political movement came first in the October election but did not secure a majority in parliament, stated in a social media post that he will not sell his Agrofert group, which operates in farming, food processing, and chemical industries.

“I have repeatedly said I will never sell Agrofert. I have repeatedly said I will resolve the ethical issue in compliance with national and European laws,” the billionaire commented. “This is not like selling a roll in a bakery.”

Head of State's Demand

The head of state, Petr Pavel, announced that the elderly political figure must clarify openly how he will remove ethical conflicts arising from his corporate dealings before assuming the role of premier.

The Czech constitution “explicitly requires the president to consider the possible emergence of a ethical issue and the ways to address it” when appointing government ministers, Pavel's office explained.

The president “expects clarity in what specific way Andrej Babiš will meet his constitutional and legal obligations”, the announcement said, noting that Pavel was prepared to designate Babiš as premier “immediately” once the issue was settled.

Business Operations and Legal Issues

Babiš's several hundred companies, primarily under the Agrofert umbrella, function in the nation and other central European countries, benefiting from substantial funds in domestic and European farming and other grants, as well as public contracts.

Under national legislation, government ministers cannot obtaining public aid or contracts. The anti-corruption watchdog Transparency International has stated that to prevent a conflict of interest, Babiš must either divest, decline government deals, or stay out of public office.

Previous Tenure and Current Intentions

Babiš said he would “abide by the laws” if selected as premier, but did not want to detail how in beforehand because the issue was “an highly personal and personal matter for me, and the media will always criticise me regardless”.

During his first term as prime minister, from 2017 to 2021, Babiš faced multiple court cases and an European inquiry over possible ethical issues. He temporarily moved his holdings into trust funds, while keeping certain control over them.

A judicial body and the EU executive both ruled that this did not suffice. Babiš confirmed recently that he was once more the sole owner of Agrofert and insisted he was “taking steps” to prevent a conflict of interest, but declined to disclose details.

Coalition Agreement and International Implications

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 exiting the EU, and the Motorists for Themselves, which has primarily opposed the EU’s environmental policy.

The new government, if confirmed, is expected to strengthen the populist movement in central and eastern Europe and could strain western support for Ukraine – although Babiš has called Ukraine’s president, Volodymyr Zelenskyy, to assure him of the nation's backing.

Pavel, who as president has a role for foreign policy, also demanded that the coalition’s programme add a statement on the government’s position on the conflict in Ukraine, with a pledge to meeting Nato obligations.

The president has earlier stated he would not approve any cabinet candidates who might doubt the Czech Republic’s EU and Nato commitments, a requirement that the ultra-conservative party has said it will meet by proposing non-partisan experts.