War in the Middle East has “clouded the outlook” for sub-Saharan Africa, with the IMF cutting its 2026 growth forecast from 4.5% to 4.3%. It is calling for greater local-currency financing, stronger credit information systems and sufficient commercial-bank capital and liquidity buffers, while warning that banks’ growing exposure to government debt could “precipitate financial crises”. African countries and financial institutions are meanwhile accelerating dollar diversification with Angola allowing commercial banks to use Chinese yuan to meet FX reserve requirements; Afreximbank recently issuing its first Panda bond; PAPSS expanding and the DRC’s set to introduce a dollar cash ban in 2027. The IMF’s Africa director weighs in how to deliver a private-sector-led growth model the agency says has “failed to materialise”.