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Andrej Babiš, the self-styled tycoon that won last month's parliamentary vote, has refused to sell his extensive corporate assets, while insisting he will address a conflict of interest that could block him from taking the position of prime minister.

Position on Business Holdings

Babiš, whose political movement emerged victorious in the October vote but lacked a majority in parliament, declared in a online statement that he would not divest his Agrofert group, which operates in farming, food production, and chemical industries.

“I have repeatedly stated I will not sell Agrofert. I have consistently said I will address the ethical issue in compliance with national and EU regulations,” the billionaire remarked. “This is different from selling a pastry in a bakeshop.”

President's Requirement

The head of state, Petr Pavel, stated that the 71-year-old political figure must publicly explain how he will remove conflicts of interest arising from his business activities before being appointed premier.

The national charter “clearly mandates the head of state to consider the possible emergence of a conflict of interest and the possibilities for its resolution” when appointing government ministers, Pavel's office explained.

The president “wants it to be clear in what precise manner Andrej Babiš will fulfil his statutory duties”, the statement added, noting that Pavel was ready to designate Babiš as premier “without delay” once the issue was settled.

Business Operations and Regulatory Issues

Babiš's numerous companies, mostly under the Agrofert umbrella, operate in the nation and other central European states, benefiting from 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 contracts. The anti-corruption watchdog Transparency International has stated that to avoid a ethical breach, Babiš must either divest, refuse public contracts, or not enter public office.

Past Tenure and Present Intentions

Babiš affirmed he would “follow the regulations” if selected as prime minister, but declined to detail how in advance because the issue was “an highly personal and personal matter for me, and the media will always question me regardless”.

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

A judicial body and the EU executive both determined that this was insufficient. Babiš confirmed last month that he was once more the exclusive proprietor of Agrofert and insisted he was “taking steps” to avoid a ethical problem, but refused to reveal specifics.

Coalition Agreement and International Implications

The wealthy politician has concluded a governing pact with two rightwing fringe parties, the ultra-conservative, pro-Russian SPD, which has advocated a public vote on leaving the EU, and the Motorists for Themselves, which has mainly campaigned against the EU’s environmental policy.

The incoming administration, if approved, is likely to bolster the populist movement in the region and might strain western support for Ukraine – even though Babiš has contacted Ukraine’s leader, Volodymyr Zelenskyy, to confirm of Czech support.

Pavel, who as president shares responsibility for international relations, also requested that the coalition’s programme add a declaration on the official stance on the conflict in Ukraine, with a pledge to meeting alliance duties.

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