Inflation reached a 14 year-high of 12.7% in June as Botswana felt the ripple effects of high food and energy costs brought about by conflict in Ukraine.
As part of the relief measures, products such as cooking oil and liquefied petroleum gas (LPG) would become zero-rated for VAT, Serame said, adding that a state-owned beef company would get a 120 million pula ($9.5 million) loan to help it speed up payments to cattle farmers.
"I fully expect retailers to pass on these interventions so that consumers can fully benefit," she said, adding that its total value was estimated at 1.8 billion pula.
The projected budget deficit for the year will not be wider due to a stronger than expected performance of diamond sales in the first six months of the year, Serame said.
In February, Serame said the diamond-rich country projected a smaller budget deficit of 3.2% of GDP in the 2022/23 fiscal year from 5.1% in the previous year largely due to improved diamond sales.
($1 = 12.6904 pulas)
(Reporting by Brian Benza; Writing by Anait Miridzhanian; Editing by David Evans)
