(Adds background, details)
BRATISLAVA, Sept 3 (Reuters) - Slovakia's public finance deficit will hit 6.29 percent of gross domestic product (GDP) this year, three times as much as originally projected, Finance Minister Jan Pociatek was quoted as saying on Thursday.
Like other countries across Europe, Slovakia, a euro zone member since January, has abandoned its target to keep the gap below 2.1 percent of GDP because of the economic downturn. But Pociatek said the higher deficit would protect growth.
"The expected public finance deficit is, in light of the current economic situation, appropriate and is working as a stabiliser for the economy," local news agency TASR cited Pociatek as saying during a parliament committee hearing.
The finance ministry, which plans to cut the fiscal gap to 5.5 percent next year and 4.2 percent in 2011, said the deficit would exceed 4 billion euro in nominal terms, 2.5 billion euro above the ministry's original projection.
Pociatek said the central state budget, which showed a gap of 1.2 billion euros from January to August and exceeded the original full-year ceiling [ID:nL2663421], would be the key contributor with a 1.439 billion euro shortfall.
The Finance Ministry sees the 70-billion euro economy, which shrank at a slower annual rate from April to June but, contracting by 6.2 percent this year, erasing most of its 6.4 growth from 2008.
The heavy export-reliant economy has slowed from one of the highest growth rates in the European Union, which peaked at 10.4 percent growth in 2007, as demand for its key exports, cars and electronics goods, dried up in the West.
The neighbouring Czech Republic has said its overall public sector gap could hit 7.4 percent of GDP this year, while analysts say Poland's could hit 6.1 percent. (Reporting by Martin Santa)