Pocket money suddenly became state money. From July 20, 1992, the Latvian ruble, popularly nicknamed “repšiki,” was the only officially circulating means of payment that had to be accepted in Latvia; the Russian ruble was no longer automatically the same ruble, but a foreign currency with its own exchange rate. The decision had been made on July 6, yet July 20 was the day the separation began to work in practice—in shops, bank accounts, and people’s wallets.

The monetary reform took place after Latvia had restored its statehood, while everyday payments still remained in the shadow of the ruble zone. Stabilizing the Latvian ruble made it possible to bring back the lats gradually in 1993.