The research institute ISAE expects GDP growth to be flat this year and the public deficit to total 4.2 pct of GDP. The institute's forecast are in line with the government estimate of flat GDP growth and a deficit of 4.3 pct. In documents released during a parliament hearing, ISAE said that the public deficit will reach 5.1 pct of GDP in 2006 without corrective measures. The government forecast the budget deficit at 4.7 pct of GDP next year without adjustments, but expects the deficit to be limited at 3.8 pct. ISAE forecast inflation at 2.0 pct this year and 2.1 pct in 2006.