Prime Minister Shinzo Abe has made reviving the economy his government's top priority, but his spending promises have raised concerns that Japan's public debt burden, already the worst among major economies, could deteriorate further.
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The agency's lead analyst Art Woo added that fiscal management is a challenging task.
The target announced is 13.6 per cent higher than that set last year and 145.4 per cent higher than the revised target for 2013-14.
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