Eclipse reports web.xml file does not exist, even though it does exist

I have a GWT project. I have the web.xml created and placed in webapp/WEB-INF, war/WEB-INF as well as war/. But Eclipse keeps throwing me the error that

The web.xml file does not exist

When I right click on the error and look into Properties, I see this entry

In folder: <myproject>/war

Though I have the file placed there, why does Eclipse keep reporting that error?

Solution

Please validate

Go To

Project -> Properties -> Google -> Web Application -> WAR directory

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GWT Project structure

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