MANILA, Philippines - The government could trim its budget deficit in 2011 to P226 billion, Finance Secretary Cesar Purisima said on Wednesday.

The narrower deficit is achievable if the economy grows by 7% in 2011, Purisima told reporters at the budget hearing at the House of Representatives.

The P226 billion deficit is equivalent to 2.5% of gross domestic product.

"Assuming we attain the 7% target... the deficit will be much lower than what was expected," Purisima told lawmakers.

Earlier, the Development Budget Coordination Committee had already set a budget deficit ceiling of P290 billion for 2011 or about 3.2% of GDP.

Economic Planning Secretary Cayetano Paderanga said previously that the economy may top the government's projected growth of 5 to 6%.