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Andrej Babiš, the self-styled tycoon that won last month's parliamentary vote, has refused to sell his extensive business interests, while asserting he will resolve a conflict of interest that could block him from assuming the role of head of government.

Position on Corporate Empire

Babiš, whose political movement emerged victorious in the autumn vote but did not secure a majority in parliament, stated in a social media post that he will not divest his Agrofert group, which operates in agriculture, food processing, and chemical industries.

“I have repeatedly said I will not sell Agrofert. I have consistently said I will address the ethical issue in accordance with Czech and European laws,” the billionaire commented. “This is not like selling a pastry in a bakery.”

Head of State's Demand

The head of state, Petr Pavel, stated that the elderly political figure must clarify openly how he will eliminate conflicts of interest stemming from his corporate dealings before assuming the role of premier.

The national charter “explicitly requires the president to consider the possible emergence of a conflict of interest and the ways to address it” when appointing government ministers, Pavel's office noted.

The head of state “expects clarity in what specific way Andrej Babiš will meet his statutory duties”, the statement said, stating that Pavel was ready to appoint Babiš as premier “without delay” once the matter was settled.

Business Operations and Legal Issues

Babiš's numerous firms, primarily under the Agrofert umbrella, function in the nation and other central European countries, receiving substantial funds in domestic and European farming and other grants, as well as government deals.

Under Czech law, cabinet members are barred from receiving state support or agreements. The ethics organization Transparency International has stated that to prevent a ethical breach, Babiš must either sell, decline government deals, or stay out of public office.

Previous Term and Current Plans

Babiš said he would “abide by the regulations” if selected as prime minister, but declined to explain how in advance because the matter was “an extremely sensitive and private affair for me, and journalists will invariably question me regardless”.

During his first term as prime minister, from 2017 to 2021, Babiš faced multiple court cases and an EU investigation over potential conflicts of interest. He placed his assets into trust funds, while keeping some influence over them.

A court and the European Commission both ruled that this did not suffice. Babiš confirmed last month that he was again the sole owner of Agrofert and insisted he was “taking steps” to prevent a ethical problem, but refused to reveal specifics.

Coalition Agreement and International Consequences

The billionaire populist has concluded a governing pact with two minor right-leaning groups, the ultra-conservative, pro-Russian SPD, which has called for a public vote on leaving the EU, and the Motorists for Themselves, which has primarily opposed the EU’s Green Deal.

The incoming administration, if approved, is likely to strengthen the populist bloc in central and eastern Europe and might challenge western support for Ukraine – even though Babiš has called Ukraine’s president, Volodymyr Zelenskyy, to assure him of the nation's backing.

Pavel, who as president has a role for international relations, also demanded that the coalition’s programme add a statement on the official stance on the conflict in Ukraine, including a pledge to fulfilling Nato obligations.

The head of state has previously stated he would not approve any ministerial nominees who might doubt the nation's EU and Nato commitments, a condition that the ultra-conservative party has indicated it will satisfy by proposing independent technocrats.