India will grow at a rate of more than 8.5 per cent during the current financial year, 2010-2011. This was stated by Finance Minister Pranab Mukherjee at a gathering of senior executives from financial services firms in Washington. Mr Mukherjee said that despite continuing global economic crisis, the flow of foreign direct investment has not been disturbed because of strong fundamentals of Indian Economy. Addressing the gathering he said that the biggest challenge before the Indian Economy is to bring down the fiscal deficit to 5.5 percent in the current year and 4.1 percent in the next financial year. Other major challenges are contain the oil prices and the rate of inflation which has reached almost double digit at 9.9 percent. Terming supply side constraints in food articles as the reason behind high inflation, Mr Mukherjee said that inflation would start declining after middle of July with expectation of normal monsoon this year.