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Andrej Babiš, the self-styled tycoon who secured victory in the recent Czech election, has declined to sell his extensive corporate assets, while insisting he will resolve a ethical dilemma that could prevent him from taking the role of head of government.

Stance on Corporate Empire

Babiš, whose ANO party emerged victorious in the October vote but did not secure a parliamentary majority, stated in a social media post that he would not sell his Agrofert group, which operates in farming, food processing, and chemical industries.

“I have consistently said I will not sell Agrofert. I have consistently stated I will resolve the conflict of interest in accordance with Czech and European laws,” the billionaire commented. “This is different from selling a roll in a bakery.”

Head of State's Demand

The Czech president, Petr Pavel, stated that the elderly political figure must clarify openly how he will eliminate ethical conflicts stemming from his business activities before assuming the role of prime minister.

The national charter “explicitly requires the head of state to take into account the possible emergence of a conflict of interest and the ways to address it” when selecting cabinet members, Pavel's office explained.

The head of state “expects clarity in what precise manner Andrej Babiš will meet his statutory duties”, the statement said, stating that Pavel was ready to designate Babiš as prime minister “immediately” once the matter was resolved.

Corporate Activities and Regulatory Concerns

Babiš's numerous firms, primarily under the Agrofert umbrella, function in the nation and other central European states, receiving millions of euros in domestic and European farming and other grants, as well as public contracts.

Under national legislation, cabinet members cannot obtaining state support or agreements. The anti-corruption watchdog Transparency International has stated that to avoid a conflict of interest, Babiš must either sell, decline government deals, or stay out of public office.

Past Term and Current Plans

Babiš said he would “abide by the laws” if appointed as prime minister, but declined to detail how in beforehand because the matter was “an highly personal and personal matter for me, and the media will invariably criticise me regardless”.

During his first term as premier, from 2017 to 2021, Babiš faced multiple legal battles and an EU investigation over potential ethical issues. He temporarily moved his holdings into fiduciary arrangements, while retaining some influence over them.

A court and the EU executive both ruled that this did not suffice. Babiš stated last month that he was again the exclusive proprietor of Agrofert and insisted he was “implementing measures” to avoid a ethical problem, but declined to reveal details.

Coalition Agreement and International Consequences

The billionaire populist has concluded 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 Green Deal.

The new government, if approved, is expected to bolster the populist bloc in central and eastern Europe and could challenge western support for Ukraine – even though Babiš has called Ukraine’s president, Volodymyr Zelenskyy, to confirm of Czech support.

Pavel, who as president shares responsibility for foreign policy, also requested that the government agenda add a declaration on the official stance on the conflict in Ukraine, with a commitment to meeting alliance duties.

The president has previously stated he would not endorse any cabinet candidates who might doubt the nation's EU and Nato commitments, a requirement that the ultra-conservative party has said it will satisfy by proposing independent technocrats.