Renzi says 2016 deficit to be 2.4%

(ANSA) - Rome, September 28 - Premier Matteo Renzi's cabinet late on Tuesday approved the revisions to the government's economic blueprint, the Economic and Financial Document (DEF), in which its deficit forecast was raised and its growth forecast lowered.
    The revised DEF puts this year's deficit-to-GDP ratio at 2.4%, compared to the 2.3% previously forecast, and sees it coming down to 2% in 2017, rather than 1.8%.
    As a result, Italy will request a margin of 0.4 of a percentage point from the EU.
    Renzi said this was justified by two "exceptional circumstances" foreseen by EU rules - Italy's spending following the August earthquake and the expenditure required to tackle the asylum-seeker crisis.
    He said that Italy's GDP would increase 0.8% this year, instead of the previously forecast 1.2%, and grow by 1% in 2017 rather than 1.4%.
    He stressed that, while the deficit and GDP figures were not as good as he would have hoped, both were moving in the right direction. The revised DEF sees Italy's debt-to-GDP ratio increasing to 132.8% this year, rather than 132.4%, and coming down in 132.2% next year, rather than 130.9%.