The liberation of Latgale from Bolsheviks’ military power in 1920, not only ended the years of warfare in the region and in Latvia, but also gave an opportunity to independently organize the national education system. The article discusses the subject related to the history of education in Latgale, which has not been studied in detail until now, i. e. the action of Latvian educational institutions in Latgale from 1920 till 1924. The aim of the paper is to describe the ideals of national education system in Latvia, as well as the reality, accentuating the main operational problems of schools (classroom situation and material support, school attendance, etc.), and the solutions practiced to possibly provide the functioning of educational institutions. After the World War I, the sector of education in Latgale was in a very difficult and problematic condition. The government of Latvia realized the seriousness of the situation and assigned 55 million rubles to promote eduactional activity and strenghten the national education system in the region. This indicates that there was created a serious material base in order to achieve the ideals of education. Undeniably, the 55 million rubles was an important support for the arrangement of education in Latgale; however, it was insufficient to fully resolve the huge school problems. Therefore, the support and involvement of the population and private resources for education activities was very significant. Public interest and enthusiasm demonstrated growth of the prestige of education towards democratization.