The rise in global inflation has become a central issue affecting various aspects of the world economy. The increasing rate of inflation in various countries is caused by a number of factors, including supply chain disruptions due to the COVID-19 pandemic, soaring energy prices, and loose monetary policy. Developing countries were hit harder, with inflation exceeding expectations and disrupting people’s purchasing power. One of the main impacts of global inflation is the increase in prices of goods and services. This increase not only reduces consumer purchasing power, but also triggers uncertainty in the market. People will probably change their consumption behavior, switching from premium goods to more affordable products. This can affect the growth of the retail sector as well as cause a decrease in income for manufacturers who cannot keep up with price adjustments. Meanwhile, for developed countries, inflation can encourage central banks to raise interest rates. This policy aims to tame inflation, but can have side effects such as slowing economic growth. Rising interest rates make borrowing more expensive, potentially reducing investments and consumer spending. As a result, the results of this policy may lead to a recession if not handled wisely. The implications for international trade are also quite significant. Countries that experience high inflation tend to see the value of their currency weaken. When a currency weakens, imported goods become more expensive, further adding to inflationary pressures. On the other hand, export products can become more competitive in the global market, opening up opportunities for growth in the export sector. However, exchange rate uncertainty can disrupt long-term business and investment planning. Inflation also influences government fiscal policy. With the cost of living soaring, the government may have to spend more and increase subsidies to maintain people’s welfare. This can increase the budget deficit which has a negative impact on long-term economic stability. An increase in public debt could give rise to a financial crisis in the future, especially if inflation rates remain high and economic growth slows. The increase in global inflation also increases social and economic inequality. Low-income families will be increasingly stressed, while those with higher incomes will tend to be better able to adjust to rising costs. This creates wider gaps in society, potentially fueling dissatisfaction and protests, leading to disrupted political stability. Finally, to overcome inflation, international collaboration is very necessary. Countries need to share data and strategies to reduce the negative impact of global inflation. Through multilateral meetings, it is hoped that a consensus will be reached for price stabilization that will benefit all parties. This involvement is not only important to overcome current challenges, but also to create a more resilient economic system in the future.