Heat the vegetable oil in a large skillet over medium heat.
Add the chopped onion and sauté until translucent, about 5 minutes.
Stir in the minced garlic and grated ginger, cooking for an additional 1-2 minutes until fragrant.
Add the chicken pieces to the skillet and season with salt, pepper, cumin, coriander, turmeric, and red pepper flakes.
Cook until the chicken is browned on all sides, about 5-7 minutes.
Pour in the coconut milk and bring the mixture to a gentle simmer.
Reduce the heat to low and let it cook for 15-20 minutes, stirring occasionally, until the chicken is cooked through and the sauce has thickened slightly.
Stir in the chopped basil just before serving.
Serve the spiced coconut basil chicken over cooked jasmine rice and garnish with lime wedges.