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Andrej Babiš, the self-proclaimed billionaire that secured victory in last month's Czech election, has refused to offload his vast corporate assets, while asserting he will address a conflict of interest that could prevent him from assuming the position of head of government.

Position on Corporate Empire

Babiš, whose political movement came first in the autumn vote but lacked a parliamentary majority, stated 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 conflict of interest in compliance with national and European laws,” the billionaire commented. “This is not like selling a roll in a bakery.”

President's Requirement

The Czech president, Petr Pavel, announced that the elderly populist 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 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 head of state “expects clarity in what specific way Andrej Babiš will meet his statutory duties”, the announcement added, noting that Pavel was ready to designate Babiš as premier “immediately” once the issue was settled.

Business Operations and Regulatory Concerns

Babiš's several hundred companies, primarily under the Agrofert umbrella, operate in the nation and other central European countries, receiving substantial funds in domestic and European agricultural and other subsidies, as well as government deals.

Under Czech law, cabinet members are barred from obtaining state support or agreements. The ethics watchdog Transparency International has stated that to avoid a conflict of interest, Babiš must either sell, decline government deals, or not enter government.

Past Tenure and Present Plans

Babiš said he would “abide by the regulations” if selected as prime minister, but did not want to explain how in advance because the matter was “an extremely sensitive and private affair for me, and journalists will invariably criticise me regardless”.

During his first term as prime minister, from 2017 to 2021, Babiš encountered several court cases and an EU investigation over potential ethical issues. He temporarily moved his assets into trust funds, while keeping some influence over them.

A court and the EU executive both ruled that this did not suffice. Babiš confirmed last month that he was once more the exclusive proprietor of Agrofert and insisted he was “taking steps” to prevent a conflict of interest, but refused to reveal details.

Governing Deal and International Consequences

The billionaire populist has concluded a coalition agreement with two minor right-leaning groups, the ultra-conservative, pro-Russian SPD, which has advocated a public vote on exiting the EU, and the Motorists for Themselves, which has primarily campaigned against the EU’s environmental policy.

The incoming administration, if approved, is likely to strengthen the populist movement in the region and could challenge 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 has a role for international relations, also demanded that the government agenda add a statement on the official stance on Russia’s war in Ukraine, with a pledge to meeting Nato obligations.

The president has earlier said he would not approve any ministerial nominees who might question the nation's international alliances, a requirement that the ultra-conservative party has indicated it will satisfy by proposing non-partisan experts.