HSBC further cut its India growth forecast for the current and next fiscal years, saying the slowdown in the economy has become more structural than cyclical. HSBC cut its GDP forecast for the year ending in March to 5.2% from 5.7%, and its forecast for the next fiscal year to 6.2% from 6.9%, according to a report released on Thursday.

"We think the reform process will take time and it will likely be another three years before growth returns to 8% on a sustained basis," it said.

HSBC had previously cut its India growth forecasts for fiscal 2013 and 2014 in September.