Indonesia inflation rate climbs to 5-year high of 4.35% in June

Increase exceeds target of 2% to 4% as oil prices and Ukraine war wreak havoc

Higher food costs and a surge in global oil prices have fueled Indonesia's inflation. © Reuters

NANA SHIBATA and ISMI DAMAYANTI, Nikkei staff writers

July 1, 2022 11:41 JST

Updated on July 1, 2022 14:49 JST

JAKARTA -- Indonesia's inflation rate in June took its biggest leap in nearly five years as more consumer-facing businesses passed on rising costs via price increases.

Indonesia's consumer price index rose 4.35% in June, the biggest year-on-year climb since June 2017. The inflation rate exceeded Bank Indonesia's target range of 2% to 4% this year.