ROME (AFX) - Italy's GDP will increase by 1.8 pct this year, 1.3 pct in 2002 and 2.6 pct in 2003, according to forecasts released by the employers association Confindustria. Confindustria forecast the public deficit at 1.2 pct of GDP this year, 1.0 pct in 2002 and 0.6 pct in 2003. The public primary budget (the budget balance excluding the cost of servicing the debt) is expected to post a surplus representing 5.0 pct of GDP in 2001, 5.0 pct in 2002 and 5.1 pct in 2003. The public debt is expected to total 108.2 pct of GDP in 2001, 106.6 pct in 2002 and 104.3 pct in 2003, according to Confindustria. Consumer prices are forecast to rise 2.8 pct this year, 1.5 pct in 2002 and 1.7 pct in 2003. Unemployment is seen totalling 9.6 pct of the work force this year, 9.4 pct in 2002 and 9.0 pct in 2003, it said.