The country had said it would take 16,200 refugees who were already on European soil, mainly in Italy and Greece, within two years.
But they have so far only resettled 1,100.
The promise was part of an EU approved plan to share out the 160,000 refugees already on European soil.
Foreign Minister Alfonso Dastis told a parliamentary commission: “The reality is that currently there are not 160,000 refugees that meet the criteria laid down in EU decisions.
“There are no refugees in Italy. There are illegal immigrants,” he added.
“In Greece there are 55,000 to 60,000 refugees, this is why I think it would be reasonable to set targets according to this figure.”
It comes after thousands marched in protest in Barcelona last month to urge the government to meet its refugee pledge.