Difficult words are one big obstacle when dealing with the English section. Be it Reading Comprehension passages, synonyms-antonyms, fill in the blanks or even para jumbles, if there are difficult words you can’t understand, you ought to miss out on precious marks. It is for this reason that we had started publishing articles on the important words, their contextual meaning and usage on a daily basis.
|Difficult Word/Phrase||Contextual Meaning|
|outlook||point of view|
|Keep one’s powder dry||remain cautious and ready for a possible emergency|
|primacy||the fact of being primary, preeminent, or more important|
|have the edge over something||to be slightly better than someone or something else|
|prognosis||the likely course of a disease or ailment|
|headwinds||a wind blowing from directly in front, opposing forward motion|
|posits||assume as a fact; put forward as a basis of argument|
|upside||the positive or favorable aspect of something|
|skirts||go around or past the edge of|
|kinks||a sharp twist or curve in something that is otherwise straight|
Alert amid uncertainty: On RBI holding interest rates
The RBI holds interest rates citing concerns about inflation outlook (point of view)
The RBI has prudently decided to keep its powder dry (remain cautious and ready for a possible emergency) for now, citing the “extreme uncertainty” that characterises the current outlook for inflation and economic activity. Observing that the “unprecedented shock” from the pandemic has left the economy stressed, the RBI said that while the monetary policy committee recognised the primacy (the fact of being primary, preeminent, or more important) of supporting a recovery, it was necessarily mindful of its inflation targeting mandate. The picture on prices is clouded by many uncertainties. While the provisional June CPI inflation reading of 6.1% had edged over (to be slightly better than someone or something else) the upper bound of the mandated medium-term goal of 4% plus/minus 2%, a spike in food prices as well as cost push pressures from higher transport fuel and raw material prices were combining to obscure the inflation outlook. Vowing to ensure that the policy stance remains ‘accommodative’ for as long as needed to revive growth, Governor Shaktikanta Das emphasised that the RBI was ready to act on rates once a durable reduction in inflation was sighted. For now, however, the projections remain less than encouraging. The latest round of households’ expectations of price gains in an RBI survey shows that consumers expect inflation to remain elevated in the near term — a finding that the RBI’s assessment broadly backs.
The prognosis (the likely course of a disease or ailment) on the economy is also worrisome. While the RBI expects the rural economy to turn in a robust recovery on the back of a strong showing by agriculture, a deterioration in consumer sentiment in the central bank’s July survey undermines the prospects for a more broadbased revival in domestic demand. Additionally, external demand faces headwinds (a wind blowing from directly in front, opposing forward motion) from a world economy in recession and as global trade shrinks. Forecasting a contraction in real GDP in the current fiscal year, the RBI rather optimistically posits (assume as a fact; put forward as a basis of argument) that an early containment of the pandemic may impart an upside (the positive or favorable aspect of something) surprise to its outlook. Interestingly, its analysis of the macro-economic environment skirts (go around or past the edge of) the potential challenges that heightened tensions with China, one of India’s largest trading partners and, in recent years, a source of inbound foreign capital, could pose to the economy. The central bank has therefore opted to focus its energies on trying to untangle the kinks (a sharp twist or curve in something that is otherwise straight) hindering the flow of credit amid more than adequate liquidity, wary lenders and severely stressed borrowers. The restructuring, resolution and enhanced gold loan proposals mooted by the RBI acknowledge the sheer scale of the pandemic’s devastation on the finances of firms and households. The onus now is on Governor Das to ensure that the stability of the financial sector is safeguarded even as loan terms are reset to protect otherwise viable businesses. Any harm to financial stability risks undermining the economy as a whole.
We hope you have got some new words to learn and augment your vocabulary. Do let us know in the comments section below. Improve your word power further by referring to such previously published lists. Also, download the list of word-meaning of The Hindu Editorial Vocabulary Free PDFs of March, April, May, June & July 2020 and keep revising these words on a regular basis. Also, take a Free Mock Test of IBPS PO 2020 Prelims.
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