SBI PO Exam 2015- Practice English Questions (Reading Comprehension) Set-20

SBI PO Exam 2015- Practice English Questions
SBI PO Exam 2015- Practice English Questions (Reading Comprehension) Set-20:
Practice English Questions for upcoming SBI PO Exams were given below, candidates those who are preparing for the examination can use this questions.

   Directions (Questions.01-10): Read the passage carefully and answer the questions given below it. Certain words/phrases are given in bold to help you locate them while answering some of the questions.

    Central to the financial sector reforms would be the restructuring and financing of public sector banks (PSBs). The Narasimham Committee II on Banking Sector Reforms (1998) concluded that the fisc just could not meet the capital requirements of PSBs.
     Accordingly, it recommended that the minimum government holding in PSBs should be reduced from 51 per cent to 33 per cent. It was argued that reducing the government holding to 33 per cent would not mean a loss of control over the social objectives of PSBs, but it would give a breather to these banks to meet minimum capital requirements.
     Under the NDA regime, Finance Minister Yashwant Sinha made avaliant effort to get this recommendation accepted, but parliamentarians from his own party blocked the move. The Committee on Fuller Capital Account Convertibility (2006) revived the Narasimham Committee recommendation and also recommended that all banks should be registered under the Companies Act but this was not accepted. The UPA government I and II swore by the 51 per cent minimum government holding and hence there was an impasse.
     The Financial Sector Legislative Reforms Commission (2013) recommended a single Indian Financial Sector Code.
     The pronouncements of the present BJP government, however, indicate that they would not deviate from the 51 per cent government holding in PSBs. In fact, There is unanimous support, across all political parties, on the 51 per cent minimum rule, which reveals what kind of vested interests operate at the grassroots level.
     The Nayak Committee (2014),inter alia,also recommends that the minimum government holdings in PSBs should be reduced to below 50 per cent. Although this is a sensible suggestion it is unlikely to muster political support to undertake the necessary legislative changes.
     The PSBs, to be Basel III – complaint, would need, by March 2019, about Rs. 2.4 lakh crore of Tier I capital. The Government would need to put up a sizeable portion of this would clearly be beyond the capabilities of the current fisc.
     Moreover, under the present system of financing, the weaker the public sector bank, the larger the governmentinjectionof capital, and the stronger the public sector bank, the lower the government injection of capital. Under such a system all PSBs more or less grow at the same rate and the systemveerstowards a weak structure.
     Given the policy of not letting any commercial bank die, over the years, failing private sector banks have been merged with public sector banks with aconsequential financial drain on the Government. The merger of the New Bank of India (a PSB) with the Punjab National Bank was a disaster for both the Government and PNB.
     Again,facetious suggestions have been made that weak PSBs should be allowed to have a minimum government holding below 50 per cent. The pertinent question which arises is who would subscribe to the capital of these banks.

1).Which of the following did not happen with the Narasimham Committee recommendation during the NDA regime?
A.  The then Finance Minister Yaswant Sinha made an effort to get the recommendation accepted but parliamentarians from his own party did not allow the move.
B.  The Narasimham Committee recommendations got no place in the Committee on Fuller Capital Account Convertibility.
C.  There was an impasse in accepting the Narasimham Committee recommendation.
a)   Only (C)
b)   Only (B)
c)   Only (A)
d)   Only (B) and (C)
e)   Only (A) and (B)


2).What was the opinion of the Narasimham Committee II on Banking Sector reforms?
a)   That reducing the government holding to 33% would help PSBs meet minimum capital requirement.
b)   That reducing the governments holding 33% would not lead to loss of control over the social objective of public sector banks.
c)   That only fisc could not meet the capital requirement of public sector banks.
d)   That the minimum government holding in public sector banks should be reduced to 33%
e)   All the above.


3).Find the incorrect statement on the basis of the given passage.
a)   All political parties agree that the government holding should not be less than 51%
b)   The committee on Fuller Account Convertibility recommended that all banks should be registered under the Companies Act.
c)   The present BJP government has expressed its willing to bring down the government holding in PSBs as recommended by the Narasimham Committee.
d)   The main idea behind the financial sector reforms is restructuring and financing of PSBs.
e)   None of these


4).What is the meaning of the phrase inter alia as used in the passage?
a)   mean while
b)   nonetheless
c)   in addition to
d)   forcefully
e)   among other things


5).Why was the New Bank of India merged with the Punjab National Bank?
A.  To reduce the number of failing banks.
B.  It was mandatory under the policy of not letting any commercial bank die.
C.  It was necessary to allow government injection of capital to failing banks.
a)   Only (C)
b)   Only (B) and (C)
c)   Only (A) and (B)
d)   Only (B)
e)   Only (A) and (C)


    Directions (Questions.06-08): Choose word/group of words which is MORE SIMILAR in meaning to the word/group of words printed in bold as used in the passage.

6).Veers
a)   strengthens
b)   turns
c)   stays
d)   grows
e)   languish


7).Consequential
a)   minimum
b)   least
c)   insignificant
d)   substantial
e)   resultant


8).Facetious
a)   concrete
b)   ridiculous
c)   grave
d)   formal
e)   serious


    Directions (Questions.09-10): Choose the word/group of words which is MOST OPPOSITE in meaning of the word/group of words printed in bold as used in the passage
  

9).Valiant
a)   puissant
b)   indomitable
c)   brave
d)   assertive
e)   cowardly


10).Injection
a)   vaccine
b)   donation
c)   booster
d)   withdrawal
e)   handout


Answers:                                 
1). b)   2). e)   3). c)   4). e)   5). d)   6). b)   7). e)   8). b)   9). e)   10). d)

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