Japan's Inflation Ticks Up to 1.6 Percent in June Amid Government Support

Japan's inflation rate ticked up to 1.6 percent in June from a year earlier, according to the internal affairs ministry.

This increase is slightly higher than May's 1.4 percent, but still below the Bank of Japan's 2 percent target for five straight months.

The low rate of inflation can be attributed partly to government programs aimed at reducing education costs and keeping gasoline prices down with subsidies amid global market volatility.

Food prices, excluding fresh items, rose by 3.1 percent from last year, with notable increases in coffee beans (up 23 percent), boxed lunches (about 11 percent), and chocolate (nearly 9 percent).