Editing Liepāja (section)

=== 1920–1940 ===
[[File:Soldiers of the Latvian National Armed Forces in Liepāja in November 1920.jpg|thumb|Soldiers of the [[Latvian National Armed Forces]] in Liepāja in 1920]]
During the interwar period, Liepāja was the second major city in Latvia.
In an attempt to put Libau 'on the map', on 31 January 1922, the Libau Bank was founded with significant new capital, transforming the old Libau Exchange Bank which had belonged to the Libau Exchange Association, and it eventually became the fourth-largest of Latvia's joint stock banks. However, when a Riga branch of the bank was opened, the business centre of gravity shifted from Liepāja so that by 1923 its Riga 'branch' was responsible for 90% of the turnover. The German consul in Liepāja reported at the time that "Riga, the economic heart of the country, draws all business to itself." The Latvian government ignored the pleas of the Libau Exchange Association to frustrate this.<ref>Hiden, John, ''The Baltic States and Weimar Ostpolitik'', Cambridge University Press, UK, 1987, p.101-3.</ref> In 1935 KOD ({{langx|lv|Kara ostas darbnīcas}}) started to manufacture the light aircraft [[LKOD KOD-1]] and [[LKOD KOD-2]] at Liepāja. However it became evident in this year that trade with the new Soviet Union had virtually collapsed.<ref>Hiden & Salmon, 1991, p.78.</ref>