The European Commission says Greece's budget deficit for 2011 will stand at 9.5 percent of gross domestic product, far higher than the country's original forecast for 7.6 percent.
Greece has argued that the deficit targets will have to be revised as the recession is far worse this year than originally predicted.
In a report Monday, the EU's executive branch predicted Greece's deficit in 2012 would be 9.3 percent of GDP, again well above the 6.5 percent originally forecast in the 2011 budget.
Greece, crippled by debt, needs to keep a program of cutbacks on track to secure the continued flow of international rescue loans -- worth euro219 billion ($302.6 billion) -- protecting it from bankruptcy.
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