Czech billionaire Andrej Babis’ ANO party has formed a coalition with right-wing partners, moving towards regaining power after promising to increase spending and oppose EU climate and migration policies. Babis, who was prime minister from 2017-2021, aligns with the Motorists party, skeptical of climate change, and the SPD party, which opposes the EU and NATO. He aims to form a government by mid-December.
An ANO-led government would replace a center-right administration focused on budget cuts and supporting Ukraine. Babis has vowed to end financial aid to Ukraine and to halt a Czech-led ammunition supply program, although he has shown ambivalence following appeals from President Petr Pavel. Unlike the previous government, Babis’s coalition does not set specific military spending targets, despite NATO’s 3.5% GDP goal.
Babis is taking a tough stance on the EU, vowing to reject the planned carbon emissions scheme and criticizing the EU’s Green Deal as “unsustainable. ” He confirmed that his government would maintain EU and NATO membership, but would prioritize Czech interests. Babis, aligned with Hungary’s Prime Minister Viktor Orban, wants an EU that is more governed by member states rather than the European Commission.
While the outgoing administration managed to reduce the budget deficit to 2% of GDP, Babis’ tax cuts and public wage increases could cost billions without clear financing. The coalition proposes to keep fiscal deficits below the EU’s 3% cap and plans to enshrine the crown currency in the constitution, despite future euro adoption commitments.
With information from Reuters
