On 22 April 2015, the Supreme Court unanimously allowed presidential re-election. On 12 March 2017, Hernández became the National Party candidate by defeating his rival Roberto Castillo during the National Party primary. The Honduran Constitution allows revocation of citizenship of anyone who promotes changing the law to allow re-election, however Hernández's National Party, which also controls Congress, says a Supreme Court ruling last year allows him to stand for a new term. Opposition Liberal Party claims that the court does not have the power to make such decisions.
Hondurans both in and outside Honduras have protested against corruption in Honduras, allegedly by Hernández government as well as the judiciary, the military, the police and other public administration entities, demanding an end to what they say is the theft of funds and public money; for example, the embezzlement of the IHSS. In May 2015, Radio Globo discovered documents that allegedly showed that the Honduran National Party had received large amounts of cash from nonexistent companies through fraudulent contracts awarded by the IHSS when it was run by Mario Zelaya. The contracts were approved by congress when Hernández was its president and the party funding committee was headed by his sister, Hilda Hernández. Hernández has accepted that his election campaign received money from companies tied to the scandal, but denies any personal knowledge. By June 2015, Hernández had appointed a commission to investigate the cause of the corruption.
On 7 October 2015, the United States Department of Justice released a statement saying that Jaime Rosenthal, his son Yani Rosenthal and nephew Yankel Rosenthal, as well as seven other businesses, were labeled "specially designated narcotics traffickers" under the Foreign Narcotics Kingpin Designation Act, the first time this had been used against a bank outside the United States. As a result, the Honduran National Commission for Banks and Insurance (Comisión Nacional de Banca y Seguros, CNBS), forcibly liquidated the Banco Continental, property of the Rosenthal family, which was closed as of Monday, 12 October 2015, as well as other businesses and properties allegedly involved in money laundering. Hernández said that the financial system "is solid" and made it clear that this "is a problem between Banco Continental and the USA justice system".