This article summarises the evidence of the military and agricultural significance of the horse, as well as of the Pagan beliefs and ritual practices reLated to horses found in the archaeological excavations in the Latgallian and Selonian territories relating to the Iron Age. During the Iron Age, the role of horse is growing; the fact is reflected in diversity and quantity of harness items and cavalryman’s equipment found in the excavations. Although the existence of horse cult in all the peoples that lived in territory of present Latvia and surrounding territories is indisputable, there are significant differences in the common beliefs and ritual practices defined by the social development of the society, by mutual trade relations, interaction of cultures and, probably, even by the migration of people.