Greeks promise to hit targets.... eventually

GREECE'S prime minister George Papandreou insisted yesterday it would meet its deficit-busting targets, despite an upward revision of overspending in 2009.

Mr Papandreou said his government "will have reduced the deficit by at least 5.5 per cent of GDP, hopefully more," by year end.He said that was regardless of revised figures to be released next week by the European Unionwhich is expected to raise the deficit for last year to at least 15 per cent of GDP. However, that could make it even harder for his socialist government to honour its long-term pledge - made to secure a 110 billion euro rescue package this year - of bringing its deficit below the 3 per cent ceiling by 2014 at the latest.

With the unrevised deficit figures, Greece had aimed to lower the deficit to 8.1 per cent of GDP in 2010-11.