‘So pick a bird,’ Iff commanded. ‘Any bird.’ This was puzzling. ‘The only bird around here is a wooden peacock,’ Haroun pointed out, reasonably enough. Iff gave a snort of disgust. ‘A person may choose what he cannot see,’ he said, as if explaining something very obvious to a very foolish individual. ‘A person may mention a bird’s name even if the creature is not present and correct: crow, quail, hummingbird, bulbul, mynah, parrot, kite. A person may even select a flying creature of his own invention, for example winged horse, flying turtle, airborne whale, space serpent or aeromouse. To give a thing a name, a label, a handle; to rescue it from anonymity, to pluck it out of the Place of Namelessness, in short to identify it — well, that’s a way of bringing the said thing into being. Or, in this case, the said bird or Imaginary Flying Organism.’

‘That may be true where you come from,’ Haroun argued. ‘But in these parts, stricter rules apply.’

‘In these parts,’ rejoined blue-bearded Iff, ‘I am having time wasted by someone who will not trust in what he can’t see. How much have you seen, eh? Africa, have you seen it? No? Then is it truly there? And submarines? Huh? Also, hailstones, baseballs, pagodas? Goldmines? Kangaroos, Mount Fujiyama, the North Pole? And the past, did it happen? And the future, will it come? Believe in your own eyes and you’ll get into a lot of trouble, hot water, a mess.’ With that, he plunged his hand into a pocket of his auberginey pajamas, and when he brought it forth again it was bunched into a fist. ‘So take a look, or I should say a gander, at the enclosed.’ He opened his hand, and Haroun’s eyes almost fell out of his head. Tiny birds were walking about on Iff’s palm; and pecking at it, and flapping their miniature wings to hover just above it. And as well as birds there were fabulous winged creatures out of legends: an Assyrian lion with the head of a bearded man and a pair of large hairy wings growing out of its flanks; and winged monkeys, flying saucers, tiny angels, levitating (and apparently air-breathing) fish. ‘What’s your pleasure, select, choose,’ Iff urged. And although it seemed obvious to Haroun that these magical creatures were so small that they couldn’t possibly have carried so much as a bitten-off fingernail, he decided not to argue and pointed at a tiny crested bird that was giving him a sidelong look through one highly intelligent eye.

[Extracted, with edits and revisions, from Haroun and the Sea of Stories, by Salman Rushdie, Granta & Penguin, 1990.]

What does “fabulous” mean in the passage?