Yeah, it has levels I do believe. Then again its been forever since I played it but I'm pretty sure it had XP and a lot of convential RPG tropes. I could also be goddamn crazy.
The levels don't matter for shit. You just play the game normally as a hack and slash, and at some point you got enough points to be completely broken and unkillable forever. Levelling affected the way I played so little, it might as well not have been there. Otherwise there isn't really much to connect it to Jrpgs aside from some serious melodrama.