The Japanese government said Tuesday it is preparing fresh fiscal stimulus to ensure that an upcoming tax hike does not stall the economy, a move that has sparked concerns that the country is putting off improving its tattered finances.

According to a draft policy plan submitted by an advisory panel to Prime Minister Shinzo Abe, "extraordinary measures" will be included in the budget for fiscal 2019 and 2020 to offset the effect on domestic demand of an increase in the national 8 percent consumption tax to 10 percent in October 2019.

The measures could include tax breaks on big ticket purchases such as housing and automobiles, as well as daily necessities such as groceries and newspapers.