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English Questions – Cloze Test 219

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Welcome to Online English Section with explanation in Affairs Cloud.com. Here we are creating question sample in Cloze test, which is BASED ON IBPS & SBI PO/CLERK/LIC AAO/RRB, RBI, IPPB,SSC CGL EXAM and other competitive exams !!!

The RBI has reportedly asked banks to make steep increases in the..(1)..sectioning for bad loans that are referred to bankruptcy courts. This might appear tough: the banks will have to find something like an additional Rs50,000 crore this year and a like amount next year, at a time when they, for the most part, make losses, meaning they will have to find fresh capital.
It might also appear to hinder the bad loan ..(2).. expropriating exercise. However, setting aside resources to cover possible losses would serve to ..(3).. undermine trust in Indian banking’s ..(4)..integrity and the security of depositors’ savings. Clearly, the banking regulator makes this the overriding concern. We concur.
A sensible way out for the banks is to sell their bad loans to asset reconstruction companies, private equity or ..(5)..solicit funds at a discount and get an immediate fix on how much loss they make and how much provisioning would be called for.
This is superior to the banks trying to invoke the bankruptcy code themselves and going through the two-year or so process of getting a ..(6)..outrage package approved and implemented or seeing the company through liquidation. Crisil, based on an assessment of ..(7)..embedded value in the top 50 NPA cases, estimates that a 60% haircut would be needed on these loan assets.
This is smaller than the 100% provisioning that banks would be required to make in cases of attempted liquidation. Banks must get additional capital to underwrite the impact of a haircut, or of higher provisioning ..(8)..fattened asset reconstruction.
The government can infuse fresh capital in the banks it owns directly or create a holding company for state-owned banks that can ..(9)..grease its own capital to raise resources that can be used to capitalise the banks. Or the government can allow the banks to raise capital from the markets, allowing its stake to be ..(10)..diluted.

  1. 1) take away
    2) evacuation
    3) provisioning
    4) banishment

    5) No correction required.

    Answer – 3) 
    Explanation: provisioning – supply with food, drink, or equipment, especially for a journey. 

  2. 1) extirpating
    2) extraditing
    3) restructuring
    4) subtract
    5) No correction required.
    Answer – 3)
    Explanation: restructuring

  3. 1) reinforce
    2) deportation
    3) destruction
    4) transference
    5) No correction required.
    Answer – 1)
    Explanation: reinforce – strengthen or support (an object or substance), especially with additional material. 

  4. 1) dismissal
    2) exile
    3) expulsion
    4) abasement

    5) No correction required.

    Answer – 5)
    Explanation: No correction required.

  5. 1) eradication
    2) banishment

    3) extirpation

    4) vulture
    5) No correction required.

    Answer – 4)
    Explanation: vulture – a contemptible person who preys on or exploits others. 

  6. 1) indignity
    2) odium

    3) revival

    4) obloquy
    5) No correction required.

    Answer – 3)
    Explanation: revival  – an improvement in the condition, strength, or fortunes of someone or something.

  7. 1) muster
    2) acquire

    3) degradation
    4) disrepute
    5) No correction required.

    Answer – 5)
    Explanation: No correction required.

  8. 1) pending
    2) ignominy
    3) opprobrium
    4) fragile

    5) No correction required.

    Answer – 1)
    Explanation: pending

  9. 1) discredit
    2) leverage
    3) ascendancy
    4) suction

    5) No correction required.

    Answer – 2) 
    Explanation: leverage – the exertion of force by means of a lever. 

  10. 1) requisition
    2) cease
    3) concluded
    4) fetch up
    5) No correction required.
    Answer – 5)
    Explanation: No correction required.