Projection is one of many defenses in a narcissist’s arsenal.
When the projection is a dominant defense and the person is incapable of distinguishing between self and other, we say that person is paranoid.
The point of a narcissist actually projecting is because everything unhealed inside of this person is coming out to the surface.
Defense mechanisms work by changing the way we feel or interpret a situation. But they do not change reality.
They tend to deny flaws in themselves and put the blame on others for their personal shortcomings, misfortunes, and mistakes.