I think they solved the talking Japanese issue quite well.

Great episode. Especially nice to hear the Orsted theme to help enunciate Rudy's trauma.

Sylphys voice actor also did an amazing job at her scene. Definitely could hear the pain and despair she felt from the mana disaster.

So Rudeus finally met someone from another world. Which could have been a nice feeling if it weren't for the panic attack. Still death is a traumatic experience.

The high impact story, syplhy indecisiveness and shyness shine with highest grade of execution by studio bind.

Likely the most important episode in the whole season 2.

The events in the erectile dysfunction arc adventure and school arcs aren't a big deal, what matters are the characters, specially Bananahoshi, she's a key element in the story later on. She's also a nice foil to Rudeus: transferred vs. reincarnated, wanting to go back vs. wanting to stay, Hitogami pawn vs. Orsted associate.

This episode also captured nicely how complex Sylphy's feelings are. She's too afraid to take the necessary step to pursue Rudeus, but she wants him, and having Rudeus and Nana share something that she doesn't makes her even more insecure. I'm glad to see Rudeus' cluelessness working in his favour at least once - Sylphy was clearly asking "what do you think of her as a woman", and he immediately replied about unrelated things (basically, regarding trust on the deal.)

This episode was kind of intense, which was nice.
Didn't think that was the reason why Sylphy hasn't told him who she is, just because she's scared he won't remember her. Rudy's excuse to 'Fitz' as to why he came to the school was that he was looking for his childhood friend, I thought that it was implied that she knew he was talking about Syplhy.. but evidently not...
Hopefully she tells him soon.