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Andrej Babiš, the self-proclaimed billionaire that won last month's parliamentary vote, has refused to offload his vast corporate assets, while asserting he will address a ethical dilemma that could block him from assuming the position of prime minister.

Position on Business Holdings

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

“I have consistently stated I will never sell Agrofert. I have consistently stated I will resolve the conflict of interest in accordance with Czech and EU regulations,” the billionaire remarked. “This is not like selling a roll in a bakery.”

President's Demand

The head of state, Petr Pavel, stated that the 71-year-old political figure must clarify openly how he will remove ethical conflicts arising from his corporate dealings before assuming the role of premier.

The national charter “explicitly requires the president to take into account the potential occurrence of a conflict of interest and the possibilities for its resolution” when selecting government ministers, the presidential administration explained.

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

Corporate Activities and Regulatory Issues

Babiš's several hundred companies, mostly under the Agrofert group, function in the Czech Republic and other regional states, receiving millions of euros in national and EU agricultural and other grants, as well as government deals.

Under national legislation, cabinet members are barred from obtaining state support or agreements. The anti-corruption organization Transparency International has indicated that to avoid a conflict of interest, Babiš must either sell, decline public contracts, or stay out of government.

Past Tenure and Current Plans

Babiš said he would “abide by the laws” if selected as prime minister, but declined to detail how in advance because the issue was “an extremely sensitive and personal matter for me, and journalists will always criticise me regardless”.

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

A court and the European Commission both ruled that this was insufficient. Babiš stated recently that he was again the exclusive proprietor of Agrofert and insisted he was “taking steps” to prevent a ethical problem, but refused to disclose details.

Coalition Agreement and Foreign Policy Consequences

The billionaire populist has signed a governing pact with two minor right-leaning groups, the ultra-conservative, Russia-friendly SPD, which has called for a referendum on exiting the EU, and the Motorists for Themselves, which has primarily opposed the EU’s Green Deal.

The incoming administration, if confirmed, is expected to strengthen the populist bloc in the region and might challenge 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 international relations, also requested that the government agenda include a statement on the official stance on Russia’s war in Ukraine, with a commitment to meeting Nato obligations.

The president has earlier said he would not endorse any ministerial nominees who might doubt the Czech Republic’s international alliances, a condition that the far-right SPD has indicated it will meet by proposing non-partisan experts.