SHIMA, Mie -- Prime Minister Shinzo Abe is set to postpone an April 2017 consumption tax hike from the current 8 percent to 10 percent, sources close to him said.

He made the decision after deeming that the current world economic situation resembles that shortly before the economic crisis triggered by the 2008 collapse of Lehman Brothers.

The prime minister fears that if the sales tax were to be increased as scheduled, it could rapidly worsen the economic situation, making it difficult for Japan to overcome its prolonged deflation.

Following the May 26 session of the Ise-Shima Summit in Mie Prefecture, Prime Minister Abe emphasized that the Group of Seven (G-7) leaders "shared the view that the world economy faces serious risks."

At the meeting, Prime Minister Abe pointed out that commodity prices, such as those of energy, foodstuffs and raw materials, declined 55 percent from June 2014 to January 2016, mirroring the July 2008-February 2009 period around the collapse of Lehman.

Abe further pointed out that the rate of growth in investment in China and developing countries, which stood at 3.8 percent in 2009 following the collapse of Lehman Brothers -- the lowest figure since 2005 -- declined further to 2.5 percent in 2015.

Based on these figures, the prime minister said, "The (2008) Hokkaido Toyako Summit shortly before the collapse of Lehman Brothers failed to prevent the crisis. We don't want to follow in those footsteps."

He then warned, "The world economy has come to a crossroads. We must be aware that we risk falling into crisis if we make a mistake in policy responses."

Prime Minister Abe had stated repeatedly that the government will go ahead with the consumption tax hike as scheduled unless Japan faces a situation like the 2008 financial crisis or a massive earthquake.

If he ultimately decides to postpone the sales tax increase because the economic situation is similar to that shortly before the collapse of Lehman, it would mean he has changed his criteria for postponement. However, Abe apparently believes that even if he were to postpone the hike, he could dismiss arguments that the Abenomics economic policy mix promoted by his administration has failed.

When he announced in November 2014 that the government would postpone the tax hike from October 2015 -- as originally scheduled -- to April 2017, the prime minister ruled out putting off the increase any further.

As such, there are calls from within the ruling Liberal Democratic Party urging the prime minister to dissolve the House of Representatives and call a snap general election simultaneously with the summer House of Councillors election if he is to delay the tax hike again.