 In 1996, Reina named his own defense minister, breaking the precedent of accepting the nominee of the armed forces leadership.His administration substantially increased Central Bank net international reserves, reduced inflation to 12.8% a year, restored a better pace of economic growth (about 5% in 1997), and held down spending to achieve a 1.1% non-financial public sector deficit in 1997.The Liberal Party of Honduras (PLH)'s Carlos Roberto Flores took office 27 January 1998 as Honduras' fifth democratically-elected president since free elections were restored in 1981, with a 10% margin over his main opponent, PNH nominee Nora Gúnera de Melgar, widow of former leader Juan Alberto Melgar).