Russia’s invasion of Ukraine has further worsened the outlook for global inflation, with the crisis already causing oil prices to soar — and economists say it may spike further.
The further rise in energy costs is expected to hurt the Japanese economy, which has already begun to feel the effects of the existing inflation wave after decades of deflation and flat prices.
Japanese companies are normally reluctant to pass extra costs on to consumers, but recent rises in commodity prices have forced many firms to break that habit.