Latvian rublis

Latvian rublis
Latvijas rublis (Latvian)
ISO 4217
Code	LVR
Denominations
Symbol	Lvr (before numerals)
Banknotes	1, 2, 5, 10, 20, 50, 100, 200, 500 rublis
Coins	none
Demographics
User(s)	Latvia
Issuance
Central bank	Bank of Latvia
Website	www.bank.lv
This infobox shows the latest status before this currency was rendered obsolete.

The Latvian rublis (Latvian: Latvijas rublis) was the currency of Latvia from 1919 to 1922 and again from 1992 to 1993.

First rublis

After the proclamation of the Republic of Latvia in 1918, a large variety of different currencies were in circulation - ostrubles, ostmarks, German Papiermark, the so-called Tsar rubles, kopecks, the so-called Money of Duma and kerenkas, as well as promissory notes of several town municipalities.

On 4 February 1919, the Latvian Provisional Government authorized the Minister of Finance to issue the first currency notes of the Republic of Latvia - Treasury notes.^[1] They were denominated in rublis (plural: rubļi or rubłı) and kapeikas (plural: kapeiku), with 1 rublis = 100 kapeiku. On 27 March 1919 the exchange rate of 1 Latvian rublis was fixed to 1 ostmark, 2 German papiermark or 1½ Russian rubles respectively.^[1] In the period from April 1919 to September 1922, currency notes were issued in denominations of 5, 10, 25 and 50 kapeiku and 1, 2, 5, 10, 25, 50, 100 and 500 rubłı. No coins were issued.

The first state currency notes were printed in 1919 by Andrievs Niedra's government, which was considered pro-German and illegal, and was overthrown in the same year. The legal government of Kārlis Ulmanis printed quite similar notes but with different signatures on them. This government recognized the previously printed banknotes as a legal payment means. The designer of these banknotes was Jūlijs Madernieks.

On 3 August 1922, the Cabinet of Ministers approved the "Regulations on Money" which introduced the lats as Latvia's national currency. The lats was equal to 50 rubļi. The rublis remained in circulation alongside the lats for a time.

Second rublis

Latvia's regained independence was recoqnized by the Soviet Union on 6 September 1991 and in the first four months of 1992, was adversely affected by inflation of the Soviet ruble. In addition, the outgoing cash payments surpassed incoming amounts by 122 million rubles (5.9%) in February, but in April by 686 million rubles (29.2%), thus causing a serious shortage of cash.

Since currency was issued by the Soviet Union, after 20 December 1991 by Russia, the Bank of Latvia was unable to improve cash circulation in the country. The situation completely depended on the possibility of receiving or buying cash and credit resources from the Central Bank of Russia, the successor of the State Bank of the Soviet Union. It was evident that a crisis could develop by the end of May, when the Bank of Latvia would not be able to execute even the most necessary payments.

To resolve the problem, on 4 May 1992, the Monetary Reform Commission of the Republic of Latvia passed a resolution "On Introduction of the Latvian rublis". From 7 May 1992, a temporary currency, the Latvian rublis (LVR), was put into circulation as a legal tender parallel to the existing ruble notes. It was declared equal in value to the Soviet ruble. The second Latvian rublis was withdrawn from circulation on 18 October 1993,^[2] but could still be exchanged to lats until 1 July 1994, when it lost validity.^[3]

The denominations of the Latvian rublis notes (widely known as repšiki, after then-governor of the Central Bank, Einars Repše) were 1 Rublis, 2 and 5 Rubļi, 10, 20, 50, 200 and 500 Rubļu. The previous national currency - the lats - was reintroduced in 1993, replacing the Rublis at the ratio of 1 lats = 200 Rubļu. The lats was replaced on 1 January 2014 by the Euro, at the rate of 0.702804 Lats to 1 Euro.

References