The first document mentioning Amsterdam is dated 1275. In that year Count Floris V granted the people living near the dam on the Amstel River freedom to sail the waters of the Province of Holland, without paying tolls.

This tax-exemption was an important step in a long standing power struggle. The lands around the Amstel actually belonged to the Bishop of Utrecht, but were ruled on his behalf by the Lords of Amstel. They were threatening to declare independence from the Bishop. Floris V put a stop to this. A separate, independent Amstel-land did not fit in with his plans. And to win the hearts and minds of the population he granted freedom from tolls. This was a foretaste of the benefits of joining mighty Holland. The plan worked. The Lords of Amstel were obliged to accept the Count of Holland as their feudal master. But they were not happy about it and in 1296 they kidnapped and assassinated Floris. Amsterdam duly reverted to the bishopric of Utrecht.

In 1300 or 1306 - the year can't be fixed for sure - Amsterdam was granted a city charter by its feudal lord, the Bishop of Utrecht. When the bishop died in 1317, the situation turned around again. Lordship over the city passed to his near relative, William III, Count of Holland.

The city was developing fast. The first church - the core of today's Old Church - was build around 1300. Dikes were build along the banks of the Amstel river. And in the river itself, at the spot where the National Monument now stands, a dam was built. This became a market place.

Economic growth

Trade of beer and herring boasted Amsterdam's economy. In 1323 the city was awarded a monopoly on the import of beer from Hamburg. This gave the city a valuable competitive advantage. Baltic countries had traditionally dominated the herring trade. But when the fish shifted their spawning ground to the North Sea, Amsterdam saw its chance to penetrate this market. This coincided with new techniques to preserve fish, enabling the catch to be kept fresh longer. The fishermen could now get bigger catches to the market and profits rose a lot.

The region which now forms the Netherlands was politically fragmented. The gradual move towards greater unity got underway in the 15th and 16th century. The process was pushed along by the young city. During the 15th century Amsterdam became part of the powerful and widespread Dukedom of Burgundy, under Duke Philip the Good. The duke sought to keep his lands together but ran up against opposition in Holland and from Countess Jacoba of Bavaria who feared Burgundian encirclement. Sides were chosen and the sets of supporters - calling themselves the "codfish" and the "hooks" - battled it out. Amsterdam backed Duke Philip and his successors.

Amsterdam's importance came from its status as a center of commerce. This devellopment was aided by the political unity of the Low Countries - roughly covering the area of today's Netherlands, Belgium and Luxembourg - which came in 1543. The man responsible was charles V, the great-great-grandson of Philip the Good. The center of the new state was in the south, with Brussels as capital.

Amsterdam imported wood and grain from the Baltic region - also the place to buy iron-ore, furs and cod. The salt to preserve the cod came from Portugal. this made Amsterdam into a central clearing-house where goods from north and south could be stored, processed and sold on. And to service the growing business community and international trade, Amsterdam developed a range of trades and professions like cartography, printing, banking and insurance.

A thriving economy helped Amsterdam to grow into the biggest city in the province of Holland, with some 30,000 inhabitants. We can get an idea of the size and spread of the city from 16th century maps. Ocean-going vessels could sail right into the city, up to what is today Dam Square. Back then, the Dam was covered in small houses, with medieval, gothic city hall. The New Church (as opposed to the Old Church built a century earlier in 1300) was also surrounded by clusters of houses. And the city limits were defined by the Singel canal to the west and the Kloveniersburgwal (wall) to the east.

Amsterdam was not immune to the Reformation which raged through Europe. For a long time it remained a Catholic stronghold but protestantism gradually took the upper hand. Religious rivalry actually halted the city's growth between 1535 an 1578. One early group, the Anabaptists, wanted the equality of all men in heaven to be applied on earth. To make their point, sect members stripped off their clothes and took to the streets in "honest nakedness". They were rounded-up and executed with all the cruelty of the time. The authorities whose laxity had allowed matters to reach such a stage were replaced by a tougher regime.

Wars of religion stopped the unification of the Netherlands. Charles V's son Philip II, inherited the throne of Spain. And as King Philip of Span he sought to annihilate the reformation in the Netherlands. Many of the Dutch rebelled. They wanted to keep their freedom and opposed the idea of religious persecution. Prince William of Orange became their national leader. His ironic nickname, William the Silent, came from his skill as a negotiator - never committing himself until the last possible moment. In 1572, the province of Holland chose the side of William of Orange. Only Amsterdam remained loyal to Spain. The city helped the Spanish army capture Haarlem. But at this point the advantage started to shift. The Spanish troops were forced to retreat and the Sea Beggars - pirates to some, patriots to others - gained the upper hand over the Amsterdammers. The city was now isolated. A peace treaty with the rest of the province of Holland was signed in 1578 and within a few month a new city government was in place, made up of protestants and allies of William of Orange.

A definite break-up of the Netherlands came in 1579, with positive consequenses for Amsterdam. The provinces clustered in two "Unions", of Utrecht and Atrecht. The seven provinces in the Union of Utrecht continued the war with Spain until 1648 when the peace-treaty "Peace of Munster" was signed. This ended the eighty years war.

The seven provinces - the basis for the modern Netherlands - were known as "the Republic". Together they formed a loose state. William of Orange was given the title of "Stadhouder". In broad terms this made him a semi-hereditary president/commander-in-chief, with wide powers in time of war but subject to a mass of checks and balances in peace time (a construction, reflecting the Dutch relish for compromise and consensus).

The Dutch Republic was neither a democracy as we know it, nor the sort of absolute monarchy which reigned in most neighboring countries. Rights and privileges awarded to the city in the middle ages, added to a flair for wheeling and dealing in business and ensured a degree of freedom and tolerance.

Merchant adventurers from Amsterdam sailed the seas to the far-off Indies or "spice-islands" (today Indonesia). Big risks brought bigger rewards. Soon a process had been launched that would boom into the "Golden Age".

Towards the end of the 15th century, the great maritime powers of Portugal and Spain undertook epic voyages of discovery to the Americas and the Indies. Holland soon became involved in trading exotic imports from these regions, initially by collection cargoes in Lisbon for sale and distribution to wider markets.

The situation changed in 1580 when Spain annexed Portugal. The northern Netherlanders now had to make the trip to the Indies themselves. Meanwhile many rich merchants from the southern Netherlands had moved to Amsterdam after Antwerp fell to the Spanish. Their arrival gave the city's business community an extra boost. Among the new arrivals were Portuguese jews. They had fled their home country for Antwerp and now were refugees once again.

The very firs trading voyage to the Indies from Amsterdam were a phenomenal success, yielding shareholders an awesome 400% profit. Anxious to share these riches, ships were dispatched prom every port in the country. In 1609 all these fragmented efforts were clustered in the Dutch East Indies Company. Amsterdam provided more than half the capital. Other investors included ordinary people, alongside the wealthy merchant classes. Amsterdam was prevented from having half the seats on the board, for fear of over-domination. All the sam, the city was still a powerful force within the organization.

The 17th century was boom-time for Amsterdam. Riches, power, culture and tolerance burgeoned in the city.

Not surprisingly, the city's magnificent network of canals was set out in the 17th century. And along the canals which girdle the city, the citizens built houses taller than any seen in any other Dutch city. The city authorities encouraged this "tall is prestigious" idea to add to the glory of Amsterdam. Two massive places of worship were built in the first half of the century, the Zuiderkerk (South Church) and Westerkerk (West Church). The gothic city hall was destroyed by fire in 1652 and the present building (now the Dam Palace) rose up on the same site. Dam Square, still a market place in those days, was expanded considerably. The city grew to 200,000 inhabitants by 1700.

Culture flourished alongside business. Poets and playwrights like Bredero, Vondel and P.C. Hooft created their immortal works. Rembrandt and his pupils had their ateliers here. And the philosophers Spinoza and Descartes brought new insights.

Amsterdam looked rich and powerful but its prosperity was fragile. War with England prevented the arrival of a crucial merchant fleet from the Indies. This brought the city on the brink of bankruptcy. For people at the lower end of the social scale this meant no work. They went hungry and discontent smoldered. Baltic trade was still the traditional pillar of the city's economy. And when war came to the Baltic, Amsterdam ships fought on the Danish side against Sweden and Norway. The year 1673 brought a new trial of strength with war between the Republic of France of Louis XIV. On top of this, England attacked. Making good use of the turmoil, William III of Orange seized power. And when the direct danger to the country had been quickly disposed off, William III wanted to continue the war. Amsterdam opposed these plans considering it to be a waste of money.

The city's period of boom had run out by the end of the 17th century. The city lost its status as heavyweight commercial sea-power. Money started to play a greater role and the city became Europe's financial banking center. Princes and potentates came here to borrow the funds to finance their wars.Meanwhile the middle classes were becoming politically aware.

By around 1600, wide gaps had developed between the classes in Amsterdam. On top were the Regents - wealthy families who effectively ran the city, filling their pockets along the way. Nepotism was the order of the day. A newborn baby from the right family could be appointed to well paid sinecure (i.e. a job with a formal title but no work to do). Meanwhile, basic necessities were heavily taxed and unemployment was widespread. Gradually, a new middle class arose between the rich regents and de poor at the bottom of the social ladder. These new citizens were literate and open to new ideas from England and France and wanted a slice of power. The 18th century brought an age of enlightenment to Europe. The old order was being questioned. The air was alive with new ideas and theories around democracy and the sharing of power. These middle-class citizens saw the House of Orange as a natural ally against the regents. And in 1747, middle-class pressure secured many of the powers of a monarch for William IV of Orange.

A reform movement sprang up in Amsterdam, demanding an end to the corruption of the regents. By 1748 this had grown into a widespread popular drive. Rioting erupted across the Seven Provinces with the violence directed at the hated tax-gatherers. Their houses were systematically plundered and destroyed. The authorities acted with an iron fist. The ring-leaders were captured and hanged.

A generation later the so-called Patriot movement fought for the same ideals. But this time they targeted not only the regents but also the House of Orange and the way the province of Holland and Amsterdam dominated the Republic. There were some ugly incidents and skirmishes and many of the Patriots fled to France. This was on the eve of the French Revolution. Helped by French sympathizers and inspired by ideals of freedom, equality and brotherhood, they returned - effectively taking over the Dutch Republic in 1795. The city authorities were ejected and replaced by provisional representatives of the people. These were the first experimental shoots of democracy.

It was a short interlude. Napoleonic French influence turned into interference, then dictatorship. The Republic was given a single head of state, only to become a Kingdom, under Napoleon's brother Louis. Louis Napoleon chose Amsterdam as his official place of residence, making it the country's focal point and capital. In 1813 the allies defeated Napoleon and the French left the Netherlands. In 1815 William I became king. Formally Amsterdam remained the capital but after some time, the government went to The Hague.

Industrialization was certainly a boost for the city's economy but with it came social unrest. Faced with the problem of the old port silting up, Amsterdam applied a solution from its Golden Age: canal building. The new North Holland Canal linked the city directly with the North Sea port of Den Helder. It was a bold move but prosperity was slow in returning. Poverty was rampant. The turnaround came after 1870 with the opening of another canal, Suez, and German unification under Bismarck. Both were good news for international business. The year 1870 also brought the first rough diamond from south Africa. Amsterdam's already world famous diamond industry expanded even more. And in 1876 the North Sea Canal gave Amsterdam a direct link with the sea.

The opening of Central Station in 1889 positioned Amsterdam firmly on the rail map. As if reawakened to its status, the city started to build on a grand scale: theaters, museums, hotels and department stores. The years after 1870 also saw a brand on new workers' neighborhoods arise. The city needed workers, the workers needed homes but quality of building and creation of living environment had a low priority.

The Housing Act of 1901 was designed to end the appalling living conditions endured by many people. The authorities now had powers to confiscate and demolish slum dwellings. The new Act also set out minimum building standards. New grant arrangements led to creation of many housing cooperatives; to this day, they are important players in the provision of public sector housing. The city expanded in other directions and styles. Delightful garden neighborhoods sprang up. The idealistic Amsterdam school of architecture created a number of neighborhoods with low-cost rented housing, around the old city. A small airport was established at Schiphol to the south-east of the city and 900 hectare wooded recreation area was laid out on the south-west fringe.The great depression hit hard. In 1934 the government decided to cut the dole paid to the unemployed. There was a brief outbreak of rioting in working-class districts like the Jordaan (today a fashionable place to live).

The population of Amsterdam suffered a lot during the second world war. But in contrast with other cities it suffered only minor material damage.

Unlike in 1914, Dutch neutrality was not respected in World War II. German forces attacked without warning on 10 May 1940. The hopelessly out-gunned, out-numbered Dutch army capitulated five days later. With the exception of a few misdirected allied air raids, the city suffered little damage in terms of bombing or battles. But the large Jewish community was decimated. Deportation to the death camps literally cost Amsterdam 10% of its people. The starvation winter of 1944/45 killed even more people.

Measures against Jews by the occupying forces increased apace. When Jewish and Communist members were deported, the City Councils failed to protest. And civil servants obediently followed the orders of the occupying authorities. The momentum increased. The first mass raids were on 22 February 1941 on the Waterlooplein. Led by the dockworkers, the people responded with a general strike on 25 and 26 of February. This was a unique public show of determination by gentiles on behalf of their Jewish compatriots. Deportations started all the same, in July of 1942. The Jews were herded together in the Hollandse Schouwburg (theater), before being taken to the staging camp at Westerbork and then to concentration camps in Germany and Poland. Some, like Anne Frank and her family, went into hiding. Anne's world famous diary tells their story. Eventually the Frank family were betrayed and deported to Auschwitz. All died with the exception of Anna's father.

The defeat of the British and Polish airborne forces at the Battle of Arnhem in 1944, isolated the northern part of the Netherlands. With the German armies under pressure on all fronts, supplies dried up. The starvation winter of 1944-45 claimed countless lives. To get wood to fuel their fires, people pulled down thousands of empty houses.Germany surrendered on 5 May 1945 and two days later Canadian troops liberated Amsterdam.

With peace restored, the city faced the challenge of revitalizing its two most important generators of prosperity, the sea- and airports. There was a housing backlog to be cleared away, and the city's roads would have to be re-planned to cope with growing traffic. Schiphol airport grew apace and now ranks high among European airports. Obviously this expansion has had a positive as well as negative impact on the nearby city. Meanwhile, enhancing the city's access to the North Sea was an ongoing priority. The harbor mouth, canals and docks were regularly enlarged and improved. With the independence of the former Dutch colony Indonesia, Amsterdam lost its position as clearing house for tropical products. To compensate this, the Port of Amsterdam took on the role of gate way for commodities like grain and - later - Japanese cars for the European market.

Pre-war Amsterdam was almost unaccessible for modern traffic. Solving this demanded far-reaching infra-structural change. Successful major projects include the road tunnel under the IJ waterway, the subway network and the circular road around the city. And there were new major new housing projects.The make-up of the city's population has changed rapidly since the end of the Second World War. Due to massive exodus of original residents to surrounding villages, the population fell during the 1960s and 1970s from 880,000 to 680,000. It was only in 1984 that the population started to grow again. Many young people moved to Amsterdam to work or study and the age group 25-39 is strongly over-represented.

A major influx of immigrants began in the 1970s. Following the decolonization of Surinam in 1974, tens of thousands moved to the Netherlands and especially to Amsterdam, where a large Surinamese community arose. From Turkey and Morocco workers came in response to a shortage of low-skilled labour. Their women and children followed and thus Amsterdam, just as in the 17th century, once again became a real immigrant city.

Amsterdam now has 736,000 residents who originate from 173 different countries. About 37% of the population belongs to one of the cultural minority groups. Depending on the economic development, a population growth of between 50,000 and 150,000 is expected for the coming 30 years.

Amsterdam is the undisputed cultural center of the Netherlands, with orchestras, ballet and theater, museums and galleries. In recent decades tourism has become an increasingly important pillar of the economy. Every year the city receives around four million visitors.

The city has something for everyone. The historic city center with its countless monuments and the museums with the work of great masters such as Rembrandt and Van Gogh attract enormous numbers of visitors every year. But for others, Amsterdam is above all the city of freedom and the liberal drugs policy. The red light district is one of the great attractions for many visitors and the coffeeshops, where cannabis can be consumed without fear of prosecution, are extremely popular. Amsterdam is also known as the Gay Capital of Europe and attracts many gay tourists.