Greek budget falls short of deficit target: report (by Steve Gelsi)

NEW YORK (MarketWatch) -- The Greek Finance Ministry on Sunday cleared an austerity plan for approval by the country's Parliament that falls short of targets set by the European Union and the International Monetary Fund, according to reports on Sunday. The draft budget calls for a deficit of 8.5% of the country's Gross Domestic Product in 2011, falling short of a target of 7.6%, Reuters reported. The deficit will be reduced to 6.8% of GDP in 2012, but still short of the mark of 6.5% of GDP. The parliament may vote on the package as early as Monday, according to reports. Among the measures under consideration was the layoff of 30,000 government workers, according to reports. Greece is seeking a tranche of aid totaling $10.7 billion as part of a larger bailout package received early last year. The money is needed to keep the Greek government running after the middle of October.