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Andrej Babiš, the self-styled tycoon that won last month's Czech election, has declined to offload his vast business interests, while asserting he will resolve a conflict of interest that could block him from taking the position of prime minister.

Position on Corporate Empire

Babiš, whose political movement came first in the October vote but did not secure a majority in parliament, declared in a online statement that he will not sell his Agrofert conglomerate, which is active in farming, food processing, and chemical industries.

“I have consistently stated I will not sell Agrofert. I have consistently said I will resolve the ethical issue in compliance with national and EU regulations,” the billionaire remarked. “This is not like selling a roll in a bakeshop.”

Head of State's Requirement

The Czech president, Petr Pavel, stated that the 71-year-old political figure must clarify openly how he will remove ethical conflicts stemming from his corporate dealings before being appointed premier.

The Czech constitution “explicitly requires the president to take into account the possible emergence of a conflict of interest and the ways to address it” when appointing government ministers, the presidential administration explained.

The head of state “wants it to be clear in what precise manner Andrej Babiš will fulfil his statutory duties”, the statement added, stating that Pavel was prepared to designate Babiš as prime minister “immediately” once the matter was resolved.

Business Operations and Regulatory Concerns

Babiš's numerous firms, primarily under the Agrofert group, function in the nation and other regional states, receiving substantial funds in national and EU agricultural and other grants, as well as public contracts.

Under national legislation, cabinet members are barred from obtaining state support or agreements. The anti-corruption watchdog Transparency International has stated that to avoid a ethical breach, Babiš must either divest, refuse government deals, or stay out of public office.

Past Tenure and Present Plans

Babiš said he would “abide by the regulations” if appointed as prime minister, but declined to explain how in advance because the issue was “an highly personal and personal matter for me, and journalists will always criticise me regardless”.

During his first term as premier, from 2017 to 2021, Babiš encountered several court cases and an European inquiry over possible ethical issues. He temporarily moved 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 stated recently that he was once more the sole owner of Agrofert and maintained he was “implementing measures” to avoid a conflict of interest, but declined to disclose specifics.

Governing Agreement and Foreign Policy Implications

The billionaire populist has concluded a governing pact with two minor right-leaning groups, the ultra-conservative, Russia-friendly SPD, which has advocated a public vote on exiting the EU, and the Motorists for Themselves, which has mainly opposed the EU’s Green Deal.

The new government, if approved, is expected to bolster the populist bloc in the region and might strain western support for Ukraine – even though Babiš has contacted Ukraine’s leader, Volodymyr Zelenskyy, to confirm of the nation's backing.

Pavel, who as head of state shares responsibility for international relations, also requested that the coalition’s programme include a declaration on the government’s position on the conflict in Ukraine, including a pledge to fulfilling Nato obligations.

The president has earlier stated he would not approve any ministerial nominees who might doubt the nation's EU and Nato commitments, a requirement that the far-right SPD has said it will meet by proposing non-partisan experts.