Organization for Economic Co-operation and Development or OECD has stated that year-on-year inflation in the OECD, as measured by the Consumer Price Index (CPI), increased to 4.2% in June 2025, up from 4.0% in May. Headline inflation rose in 21 of the 38 OECD countries, with notable increases of 0.5 percentage points in Czechia, Estonia and Sweden. It declined in 7 countries and remained stable or broadly stable in 10. Türkiye continued to record the highest inflation rate at 35%, while no other OECD country reported inflation above 5%. The lowest rates were observed in Costa Rica (minus 0.2%), Switzerland (0.1%), and Finland (0.2%).
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. Food inflation held steady at 4.6%, although 21 countries recorded an increase and only 12 a decrease. In the remaining 5 OECD countries, food inflation showed little change. Core inflation (inflation less food and energy) was broadly stable at 4.5%.
In the G7, year-on-year inflation rose to 2.6% in June, up from 2.4% in May, amid a slower decline in energy prices. The largest increases in headline inflation (0.3 p.p.) were recorded in France and the United States. In France, services inflation picked up, while in the United States food inflation rose. Headline inflation also rose slightly in Canada by 0.2 p.p. Conversely, it declined in Japan, where falling energy inflation outweighed rising food inflation. Headline inflation was broadly stable in the other G7 countries.
In the euro area, year-on-year inflation as measured by the Harmonised Index of Consumer Prices (HICP) remained broadly stable, at 2.0% in June, up from 1.9% in May.