NEW YORK ( TheStreet) -- Japanese Prime Minister Shinzo Abe was once heralded as the white knight who would defeat Japan's prolonged deflation. His grand scheme, however, may be diverging off course.The issue revolves around Japan's immense debt load. The country's current percentage of debt to gross domestic product stands at around 211%. Sales tax hikes were planned for 2014 in order to reform fiscal policy and cut into the astounding level of debt. But in recent weeks, reports have surfaced that Abe is considering scrapping the tax hikes in an effort to keep consumer spending and GDP on the rise. Japan's most recent retail sales underperformed expectations, further evidence consumers may be vulnerable to tax hikes. All of this uncertainty has pushed domestic equities lower and the yen higher. EWJ) over Vanguard Total World Stock Index ETF ( VT). This pair measures a basket of Japanese equities versus world equities. Around mid-July, the price action dove toward yearly lows. The risk is that the Abe's policies will never come to fruition. Bondholders believed their investments would be kept safe through sweeping monetary and fiscal reforms. With the fiscal side now in question, instability could cripple investor sentiment and push riskier assets lower.