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Andrej Babiš, the self-proclaimed billionaire that won last month's parliamentary vote, has declined to offload his vast business interests, while insisting he will address a ethical dilemma that could prevent him from taking the position of prime minister.

Stance on Corporate Empire

Babiš, whose ANO party emerged victorious in the autumn election 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 production, and chemical industries.

“I have consistently said I will not sell Agrofert. I have consistently said I will resolve the ethical issue in compliance with national and European laws,” Babiš commented. “This is different from selling a pastry in a bakeshop.”

Head of State's Requirement

The head of state, Petr Pavel, stated that the 71-year-old political figure must publicly explain how he will eliminate ethical conflicts arising from his business activities before assuming the role of premier.

The national charter “clearly mandates the head of state to take into account the possible emergence of a conflict of interest and the possibilities for its resolution” when selecting cabinet members, Pavel's office explained.

The president “expects clarity in what specific way Andrej Babiš will fulfil his constitutional and legal obligations”, the statement said, noting that Pavel was prepared to appoint Babiš as premier “without delay” once the issue was settled.

Business Operations and Regulatory Concerns

Babiš's several hundred firms, mostly under the Agrofert umbrella, operate in the nation and other regional states, benefiting from substantial funds in national and EU farming and other grants, as well as government deals.

Under national legislation, government ministers cannot receiving public aid or contracts. The ethics organization Transparency International has indicated that to avoid a conflict of interest, Babiš must either sell, refuse government deals, or stay out of government.

Previous Tenure and Present Plans

Babiš said he would “follow the regulations” if selected as prime minister, but did not want to detail how in beforehand because the matter was “an highly personal and private affair for me, and journalists will always question me regardless”.

During his initial tenure as premier, from 2017 to 2021, Babiš faced multiple court cases and an EU investigation over possible conflicts of interest. He temporarily moved his holdings into trust funds, while retaining certain control 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 sole owner of Agrofert and maintained he was “implementing measures” to avoid a conflict of interest, but refused to disclose details.

Governing Agreement and International Consequences

The wealthy politician has signed a governing pact with two minor right-leaning groups, the far-right, Russia-friendly SPD, which has called for a referendum on exiting the EU, and the Motorists for Themselves, which has mainly campaigned against the EU’s environmental policy.

The new government, if approved, is expected to strengthen the populist bloc in central and eastern Europe and could challenge backing from Western nations for Ukraine – although Babiš has contacted Ukraine’s president, Volodymyr Zelenskyy, to confirm of the nation's backing.

Pavel, who as president shares responsibility for foreign policy, also demanded that the coalition’s programme add a declaration on the official stance on the conflict in Ukraine, including a pledge to meeting alliance duties.

The president has previously said he would not endorse any cabinet candidates who might question the Czech Republic’s international alliances, a condition that the far-right SPD has said it will satisfy by nominating independent technocrats.