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Military Main article: Armed forces of the Netherlands Lieutenant admiral Rob Bauer is the current Chief of Defence. The Netherlands has one of the oldest standing armies in Europe; it was first established as such by Maurice of Nassau in the late 1500s. The Dutch army was used throughout the Dutch Empire. After the defeat of Napoleon, the Dutch army was transformed into a conscription army. The army was unsuccessfully deployed during the Belgian Revolution in 1830. After 1830, it was deployed mainly in the Dutch colonies, as the Netherlands remained neutral in European wars (including the First World War), until the Netherlands was invaded in World War II and defeated by the Wehrmacht in May 1940.
The history of Dutch foreign policy has been characterised by its neutrality. Since World War II, the Netherlands has become a member of a large number of international organisations, most prominently the UN, NATO and the EU. The Dutch economy is very open and relies strongly on international trade. The foreign policy of the Netherlands is based on four basic commitments: to Atlantic co-operation, to European integration, to international development and to international law. One of the more controversial international issues surrounding the Netherlands is its liberal policy towards soft drugs. During and after the Dutch Golden Age, the Dutch people built up a commercial and colonial empire. The most important colonies were present-day Suriname and Indonesia. Indonesia became independent after the Indonesian National Revolution in the 1940s following a war of independence, international pressure and several United Nations Security Council resolutions. Suriname became independent in 1975. The historical ties inherited from its colonial past still influence the foreign relations of the Netherlands. In addition, many people from these countries are living permanently in the Netherlands.



Zr. Ms. Holland, a Royal Netherlands Navy offshore patrol vessel The Netherlands abandoned its neutrality in 1948 when it signed the Treaty of Brussels, and became a founding member of NATO in 1949. The Dutch military was therefore part of the NATO strength in Cold War Europe, deploying its army to several bases in Germany. More than 3,000 Dutch soldiers were assigned to the 2nd Infantry Division of the United States Army during the Korean War. In 1996 conscription was suspended, and the Dutch army was once again transformed into a professional army. Since the 1990s the Dutch army has been involved in the Bosnian War and the Kosovo War, it held a province in Iraq after the defeat of Saddam Hussein, and it was engaged in Afghanistan. The military is composed of four branches, all of which carry the prefix Koninklijke (Royal): Koninklijke Marine (KM), the Royal Netherlands Navy, including the Naval Air Service and Marine Corps; Koninklijke Landmacht (KL), the Royal Netherlands Army; Koninklijke Luchtmacht (KLu), the Royal Netherlands Air Force; Koninklijke Marechaussee (KMar), the Royal Marechaussee (Military Police), tasks include military police and border control. The submarine service is open to women as of 1 January 2017. The Korps Commandotroepen, the Special Operations Force of the Netherlands Army, is open to women, but because of the extremely high physical demands for initial training, it is almost impossible for a woman to become a commando.[124] The Dutch Ministry of Defence employs more than 70,000 personnel, including over 20,000 civilians and over 50,000 military personnel.[125] In April 2011 the government announced a major reduction in its military because of a cut in government expenditure, including a decrease in the number of tanks, fighter aircraft, naval ships and senior officials.[126] The Netherlands decided not to sign the UN treaty on the Prohibition of Nuclear Weapons.[127] Economy Main article: Economy of the Netherlands The Port of Rotterdam is Europe's largest port. The Netherlands has a developed economy and has been playing a special role in the European economy for many centuries. Since the 16th century, shipping, fishing, agriculture, trade, and banking have been leading sectors of the Dutch economy. The Netherlands has a high level of economic freedom. The Netherlands is one of the top countries in the Global Enabling Trade Report (2nd in 2016), and was ranked the fifth most competitive economy in the world by the Swiss International Institute for Management Development in 2017.[128] In addition, the country was ranked the second most innovative nation in the world in the 2018 Global Innovation Index.[129] The Netherlands is a heavily developed country. Shown here is a motorway passing by a polder with a drainage windmill, and two wind turbines in the background. As of 2016, the key trading partners of the Netherlands were Germany, Belgium, the United Kingdom, the United States, France, Italy, China and Russia.[130] The Netherlands is one of the world's 10 leading exporting countries. Foodstuffs form the largest industrial sector. Other major industries include chemicals, metallurgy, machinery, electrical goods, trade, services and tourism. Examples of international Dutch companies operating in Netherlands include Randstad, Unilever, Heineken, KLM, financial services (ING, ABN AMRO, Rabobank), chemicals (DSM, AKZO), petroleum refining (Royal Dutch Shell), electronical machinery (Philips, ASML), and satellite navigation (TomTom). The Netherlands has the 17th-largest economy in the world, and ranks 10th in GDP (nominal) per capita. Between 1997 and 2000 annual economic growth (GDP) averaged nearly 4%, well above the European average. Growth slowed considerably from 2001 to 2005 with the global economic slowdown, but accelerated to 4.1% in the third quarter of 2007. In May 2013, inflation was at 2.8% per year.[131] In April 2013, unemployment was at 8.2% (or 6.7% following the ILO definition) of the labour force.[132] In February 2019, this was reduced to 3.4%.[133] In Q3 and Q4 2011, the Dutch economy contracted by 0.4% and 0.7%, respectively, because of European Debt Crisis, while in Q4 the Eurozone economy shrunk by 0.3%.[134] The Netherlands also has a relatively low GINI coefficient of 0.326. Despite ranking 7th in GDP per capita, UNICEF ranked the Netherlands 1st in child well-being in rich countries, both in 2007 and in 2013.[135][136][137] On the Index of Economic Freedom Netherlands is the 13th most free market capitalist economy out of 157 surveyed countries. Amsterdam is the financial and business capital of the Netherlands.[138] The Amsterdam Stock Exchange (AEX), part of Euronext, is the world's oldest stock exchange and is one of Europe's largest bourses. It is situated near Dam Square in the city's centre. As a founding member of the euro, the Netherlands replaced (for accounting purposes) its former currency, the "gulden" (guilder), on 1 January 1999, along with 15 other adopters of the euro. Actual euro coins and banknotes followed on 1 January 2002. One euro was equivalent to 2.20371 Dutch guilders. In the Caribbean Netherlands, the United States dollar is used instead of the euro. The Netherlands is part of a monetary union, the Eurozone (dark blue), and the EU single market. The Dutch location gives it prime access to markets in the UK and Germany, with the Port of Rotterdam being the largest port in Europe. Other important parts of the economy are international trade (Dutch colonialism started with co-operative private enterprises such as the Dutch East India Company), banking and transport. The Netherlands successfully addressed the issue of public finances and stagnating job growth long before its European partners. Amsterdam is the 5th-busiest tourist destination in Europe with more than 4.2 million international visitors.[139] Since the enlargement of the EU large numbers of migrant workers have arrived in the Netherlands from Central and Eastern Europe.[140] The Netherlands continues to be one of the leading European nations for attracting foreign direct investment and is one of the five largest investors in the United States. The economy experienced a slowdown in 2005, but in 2006 recovered to the fastest pace in six years on the back of increased exports and strong investment. The pace of job growth reached 10-year highs in 2007. The Netherlands is the fourth-most competitive economy in the world, according to the World Economic Forum's Global Competitiveness Report.[141] Natural gas Natural gas concessions in the Netherlands. Today the Netherlands accounts for more than 25% of all natural gas reserves in the EU. Beginning in the 1950s, the Netherlands discovered huge natural gas resources. The sale of natural gas generated enormous revenues for the Netherlands for decades, adding hundreds of billions of euros to the government's budget.[142] However, the unforeseen consequences of the country's huge energy wealth impacted the competitiveness of other sectors of the economy, leading to the theory of Dutch disease.[142] The Groningen gas field whose discovery in 1959 transformed the Dutch economy, generating 159 billion in revenue since the mid-1970s. Apart from coal and gas, the country has no mining resources. The last coal mine was closed in 1974. The Groningen gas field, one of the largest natural gas fields in the world, is situated near Slochteren. Exploitation of this field has resulted in 159 billion in revenue since the mid-1970s.[143] The field is operated by government-owned Gasunie and output is jointly exploited by the government, Royal Dutch Shell, and Exxon Mobil through NAM (Nederlandse Aardolie Maatschappij). "Gas extraction has resulted in increasingly strong earth tremors, some measuring as much as 3.6 on the Richter magnitude scale. The cost of damage repairs, structural improvements to buildings, and compensation for home


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