This upsize is not recommended but I did the same in my 2018 Vitz due to size non availability and wanting some extra ground clearance like you. Kept the car for 3 years and drove around 30K km. The average was affected by around 1-2 kmpl but no other issues.
I don’t think the engine can get significantly affected by this size change, however suspension may take a hit over a longer period and if driven less carefully.
BTW I am from karachi and my car was driven throughout in the city on its mixed roads, including broken ones. No suspension noise, discomfort or body squeaks when I sold it after 30K km on the tires.
