OECD annual inflation rises to 4.2% in June

ISTANBUL

Annual consumer inflation in the Organization for Economic Cooperation and Development (OECD) area rose to 4.2% in June from 4% in May, according to data released on Tuesday.

Inflation rose in 21 of the 38 OECD countries, with notable increases of 0.5 percentage points in the Czech Republic, Estonia, and Sweden.

On the other hand, it declined in seven countries and remained stable or broadly stable in 10.

"Year-on-year energy inflation in the OECD turned positive in June, after having been negative in the two preceding months. Energy inflation was just below 1% in the OECD as a whole, with 16 OECD countries still reporting declines," the OECD said in a statement.

Meanwhile, food inflation was at 4.6% in June, with 21 countries seeing increases and 12 decreases.

Core inflation, which excludes food and energy, was broadly stable at 4.5% in June.

In the Group of Seven (G7), annual inflation rose to 2.6% in June, from 2.4% in May. "The largest increases in headline inflation (0.3 percentage points) were recorded in France and the US."

In France, services inflation was up, while in the US food inflation rose.

In the Group of 20 (G20), inflation was stable at 3.9% in June.

Headline inflation increased in China, despite remaining close to zero. Consumer prices also climbed in Indonesia and South Africa, while they fell in India and were broadly stable in Brazil and Saudi Arabia.

In the eurozone, annual inflation as measured by the Harmonized Index of Consumer Prices (HICP) remained broadly stable at 2% in June.

"In July 2025, according to Eurostat’s flash estimate, year-on-year headline inflation in the euro area remained stable, with core inflation remaining unchanged and energy inflation broadly stable. Year-on-year services inflation in the euro area is estimated to have slowed to 3.1% in July, from 3.3 % in June," it said.