Worried by a sharp slowdown in the economy and a strong yen, Japan’s government is considering another round of stimulus to stoke growth as measures enacted during the recent financial crisis begin to expire.

But policy makers face a daunting challenge balancing any new spending with their pledges to curb the country’s debt, which is already approaching twice the size of Japan’s gross domestic product. Economic growth slumped in the quarter ended in June to an annualized pace of 0.4% from 4.4% in the previous quarter, and tax revenue will likely take a hit as a result.