The Japanese government notes that the economy is now "recovering moderately though it appears to be stalling recently". This syncs up with their view on consumer spending, which has also been slashed for the first time in two years. They note that a pickup in that sector is seen as "stalling" now.
Besides that, the government also downgraded their view on industrial production for the first time since March last year.
If anything else, this isn't exactly a convincing signal that we'll get a significant normalisation of monetary policy. That especially as global inflation pressures are also seen waning in recent months, and that could also see Japan face a similar situation in the months ahead.
