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and the bills can be collated in a single claim. Industrial risks commonly have the deductible expressed as a percentage of the loss, often though not always with a minimum and maximum amount. That is similar to co-insurance in which the company pays a certain percentage of the losses, coupled with minimum and maximum payment thresholds. For example, with a deductible of 10% with a minimum of $1,500 and a maximum of $5,000, a claim of $25,000 would incur a deductible of $2,500 (i.e. 10% of the loss), and the resulting payment would be $22,500. A claim below $15,000 would incur the minimum deductible of $1,500, and a claim above $50,000 would incur the maximum deductible of $5,000. In commercial insurance, retention may sometimes be used as synonymous with deductible , as both are costs of loss ultimately born by the insured.
Damage waiver (DW) or, as it is often referred to, collision damage waiver ( CDW ) or loss damage waiver ( LDW ) is a term that can be included or purchased as an option in a car rental agreement, by which the rental company waives the right to pursue compensation from the renter if the vehicle is damaged or stolen. ] Although it involves a transfer of risk, a damage waiver option is not insurance but instead a modification to the basic rental contract. ] In many countries, it is a legal requirement to have a damage waiver included in the basic car rental rate. Some rental companies also offer liability insurance and coverage of towing charges. Terms and prices vary. Alternatives to the CDW include other car insurance policies, some coverage from credit card issuers ( Visa , MasterCard , American Express etc.) and some travel insurance . If the car damages property or injures someone, the customer or other insurance must pay for the damages (i.e., is "held liable"). US car rental companies sometimes include minimum liability insurance required by law in the basic rental charge. Hertz includes it in all states except California, but will subrogate any damages against the driver (meaning the car is insured to the state minimum but the driver will pay for all damages paid by Hertz). ] Avis includes it in all states except California and Texas, at least for renters who lack their own coverage. ] Other companies do not publicize where they include liability insurance in the basic rental charge. Some car rental companies offer more liability insurance for a fee. ] ] Within Canada, all auto rentals are required by law to include a minimum of $200,000 in third-party liability insurance, regardless of whether the renter has their own auto insurance or not. Most rental agencies thus do not provide a third-party liability insurance option, and simply factor in the premium as part of fixed cost of rental. ] When a customer does not pay the car rental company to waive damage, and a rented car is stolen, or damaged by accident, vandalism, weather (hail), etc., the customer or other insurance must pay to the rental company the full cost of repair, plus administrative charges and, in some states, loss of use . From some companies, in some states and countries, there are charges for towing, storage, impound, administrative fees ] and diminution of value of the car (Avis, ] Budget, ] National, ] Thrifty ] ). Some companies even say they alone will decide the diminution (Dollar, ] Hertz" ] ). The rental company's damage waiver normally covers accidental damage and towing a damaged vehicle, as long as the renter complies with the rental contract (such as authorized drivers, locations, no racing) and with the damage waiver (such as police report ] ). Waivers may also cover theft, vandalism, loss of use, and liability. The renter often has a choice among different coverages for different fees. Damage waivers are not necessarily complete. They may have deductibles
cover theft, vandalism, loss of use, and liability. The renter often has a choice among different coverages for different fees. Damage waivers are not necessarily complete. They may have deductibles (also called excess) and limits on the amount covered. ] Liability coverage always has limits. The descriptions above come from rental company websites, under headings like Policies, FAQ, Coverage, or More. ] ] ] ] Damage Waivers can be bought from the car rental company in most countries, or through a car hire excess insurer in the UK, ] or through travel insurers. ] Coverage from the car rental company may be required if the renter lacks proof of coverage elsewhere. ] ] Some credit card issuers ( Visa , MasterCard , etc.,) offer insurance for theft or damage to rented cars. A few of the cards (noted in the table below) offer "primary" insurance, so the driver does not need to file a claim with his or her personal insurance. More cards offer "secondary insurance." This means that if the renter has personal or business vehicle insurance with appropriate coverage, then that insurance will pay first. Then the credit card issuer will pay the primary insurance's deductible and will address any large claims above the primary insurance limit. If the renter has no other vehicle insurance for the specific claim (no insurance at all, or not in the relevant country, or no collision insurance, etc.), the credit card company (if it offers coverage) will pay the whole amount, up to its limits. All four credit card companies listed below cover collision damage with some of their cards. Visa and some MasterCards and American Express cards also cover theft , while other MasterCards and American Express cards include theft, vandalism, hitting a deer or chipping a window (sources at bottom of table). Other issues important to some renters are that Visa and MasterCard only cover rental contracts of 15 days or less (not even the first 15 days of longer rentals). Some American Express and MasterCards are not useful on dirt or gravel roads , since they exclude "damage sustained on any surface, other than a bound surface such as concrete or tarmac". ] MasterCard and Visa in the United States say they cover "Physical damage and/or theft", but an introductory paragraph for some MasterCards ] and all Visa ] cards limits this to "collision or theft," so vandalism and hail are excluded. It may be ambiguous whether deer impacts and glass chips are covered as "collisions." MasterCards from Bank of America and MBNA generally have a simpler opening paragraph, which leaves coverage in place for any physical damage. ] Even among these brands, some cards lack coverage entirely, especially debit cards and cards with low credit limits. The AmEx Platinum Cash Rebate card , for example, has no coverage. Some MasterCard "Standard" cards lack coverage, while "Premier", "Gold" and "Platinum" cards vary in their coverage. Citi® / AAdvantage®, Citi ThankYou®, Citi® Dividend or Citi
has no coverage. Some MasterCard "Standard" cards lack coverage, while "Premier", "Gold" and "Platinum" cards vary in their coverage. Citi® / AAdvantage®, Citi ThankYou®, Citi® Dividend or Citi CashReturns® MasterCard-branded cards are notable for providing coverage worldwide without geographic exclusions, ] while most other MasterCard, Visa and American Express cards exclude coverage in Ireland, Israel, Jamaica. These schemes apply to cards issued in the US, Trinidad and Tobago, ] and apparently nowhere else. In addition, no credit card will cover a rental that is being billed to a third party, such as in the event that an insurance company is being directly billed for the rental. The following table is an effort at a summary, though not guaranteed. Coverage is complex and changes periodically. Telephone staff do not know the changes. Formal insurance policies govern and are not easily available to cardholders, who are only given summaries, like the links below. "Loss of use" and administration fees are often advertised as covered by credit cards. However, credit card companies pay these items only if the rental car company provides proof. If rental car company does not provide proof, there seems little reason for the renter to pay either. 2. benefit information center 3. MasterCard Trinidad and Tobago 4. Citi cards https:www.discover.commember-benefits/ 4. secure.cmax.americanexpress.com/... Travel insurance is an insurance product for covering unforeseen losses incurred while travelling, either internationally or domestically. Basic policies generally only cover emergency medical expenses while overseas, while comprehensive policies typically include coverage for trip cancellation, lost luggage, flight delays, public liability, and other expenses.
The Hong Kong dollar ( Chinese : 港元 , sign : HK$ ; code : HKD ) is the official currency of Hong Kong . It is subdivided into 100 cents . Historically, it was also subdivided into 1000 mils . The Hong Kong Monetary Authority is the monetary authority of Hong Kong and the Hong Kong dollar. Three commercial banks are licensed by the Hong Kong Monetary Authority to issue their own banknotes for general circulation in Hong Kong. These banks, HSBC , Bank of China , and Standard Chartered , issue their own designs of banknotes in denominations of HK$20, HK$50, HK$100, HK$150, HK$500, and HK$1000, with all designs being similar to one another in the same denomination of banknote. However, the HK$10 banknote and all coins are issued by the Government of Hong Kong . As of April 2019, ] the Hong Kong dollar was the ninth- most traded currency in the world . ] Hong Kong uses a linked exchange rate system , trading since May 2005 in the range US$1:HK$7.75–7.85. Apart from its use in Hong Kong, the Hong Kong dollar is also used in neighbouring Macau . It is pegged at 1 Hong Kong dollar to 1.03 Macanese patacas , and is generally accepted at par or MOP 1.00 for retail purchases. ] When Hong Kong was established as a free trading port in 1841, there was no local currency in everyday circulation. Foreign currencies such as Indian rupees , Spanish or Mexican 8 reales , and Chinese cash coins circulated. ] Since 1825, it had been the policy of the British government to introduce sterling silver coinage to all of its colonies, and to this end, in 1845, the Spanish or Mexican 8 reales coins were set at a legal tender value of 4 shillings, 2 pence sterling (50 pence). citation needed ] But just as in the case of the British North American colonies, the attempts to introduce the sterling coinage failed to overcome the strong local adherence to the silver Spanish dollar system that had been in wide circulation across the Far East , emanating for centuries from Manila in the Philippines as part of the Spanish East Indies in the Spanish colonial empire through the Manila-Acapulco Galleon Trade with the coins minted in the Spanish Americas in Mexico or Peru or Bolivia . By 1858, the British government gave up all attempts to influence the currency situation in Canada, and by the 1860s, it came to the same realisation in Hong Kong: that there was no point in trying to displace an already existing currency system. In 1863, the Royal Mint in London began issuing special subsidiary coinage for use in Hong Kong within the dollar system, though other national currencies circulated unofficially for years afterwards. ] In 1866, a local mint was established at Cleveland Street in Causeway Bay on Hong Kong Island for the purpose of minting Hong Kong silver dollar and half dollar coins of the same value and similar likeness to their Spanish/Mexican counterparts. ] The Chinese did not however receive these new Hong Kong dollars well, and in 1868, the Hong Kong Mint was closed down
of the same value and similar likeness to their Spanish/Mexican counterparts. ] The Chinese did not however receive these new Hong Kong dollars well, and in 1868, the Hong Kong Mint was closed down with a loss of $440,000. The machinery at the Hong Kong mint was sold first to Jardine Matheson and, in turn, to the Japanese and used to make the first Yen coins in 1870. In the 1860s, banknotes of the new British colonial banks, the Hong Kong and Shanghai Banking Corporation and the Chartered Bank of India, Australia and China , denominated in dollars, also began to circulate in both Hong Kong and the wider region. In 1873, the international silver crisis resulted in a devaluation of silver against gold-based currencies. Since the silver dollars in the US and Canada were attached to a gold exchange standard, this meant that the silver dollars circulating along the China coast dropped in value as compared to the U.S. dollar and the Canadian dollar . By 1895, the circumstances had changed to the extent that there was now a dearth of Spanish/Mexican dollars and the authorities in both Hong Kong and the Straits Settlements were putting pressure on the authorities in London to take measures to have a regular supply of silver dollar coins. London eventually acquiesced and legislation was enacted in attempts to regulate the coinage. New British trade dollars were coined at the mints in Calcutta and Bombay for use in both Hong Kong and the Straits Settlements . In 1906, the Straits Settlements issued their own silver dollar coin and attached it to a gold sterling exchange standard at a fixed value of 2 shillings and 4 pence. This was the point of departure as between the Hong Kong unit and the Straits unit. In British Weihaiwei , the Hong Kong dollar circulated jointly with the Chinese yuan from 1914 to 1930, when Weihaiwei was returned to the Republic of China . By 1935, only Hong Kong and China remained on the silver standard. In that year, Hong Kong, shortly after China, abandoned silver and introduced a crawling peg to sterling of £1 = HK$15.36 to HK$16.45. It was from this point in time that the concept of a Hong Kong dollar as a distinct unit of currency came into existence. The One-Dollar Currency Note Ordinance of that year led to the introduction of one-dollar notes by the government and the government acknowledged the Hong Kong dollar as the local monetary unit. It was not until 1937 that the legal tender of Hong Kong was finally unified. In 1939, the Hong Kong dollar was put on a fixed peg of HK$16 = £1 ($1 = 1 s 3 d ). The discussion about switching from the silver standard to the gold standard began as early as 1930. A commission report was released in May 1931. It concluded that it was important for Hong Kong to facilitate free flow of capital with China and the same monetary standard was thus preferred. The report also recommended the Hong Kong Government only to take over the burden of note issuance when the banks failed to do so. Actually,
China and the same monetary standard was thus preferred. The report also recommended the Hong Kong Government only to take over the burden of note issuance when the banks failed to do so. Actually, the Hong Kong Government was not willing to take up the logistics of note issuance, and some officials even thought that the public had greater degree of confidence in the notes issued by those long-established banks than that by the government. ] During the Japanese occupation , the Japanese military yen were the only means of everyday exchange in Hong Kong. When the yen was first introduced on 26 December 1941, the exchange rate was ¥1 yen = HK$2. However, in August 1942, the rate was changed to HK$4 to ¥1 yen. The yen became the only legal tender on 1 June 1943. The issue of local currency was resumed by the Hong Kong government and the authorised local banks after liberation, with the pre-war rate of HK$16 = £1 being restored. The yen was exchanged at a rate of ¥100 = HK$1. On 6 September 1945, all military yen notes used in Japanese colonies were declared void by the Japanese Ministry of Finance . After the end of the Second World War, the Hong Kong dollar was re-pegged to sterling at a fixed rate identical to the pre-war level. ] Meanwhile, the United Kingdom made efforts in maintaining the sterling area with countries of the British Commonwealth as well as its colonies. It imposed exchange controls on non-sterling area countries, barring them from freely converting British pounds into US dollars, but no such restriction was placed on sterling area countries. As a colony of the British Empire, Hong Kong was obliged to observe the sterling area regulations. Nevertheless, its unique geo-economic position afforded Hong Kong the ability to defy exchange controls by operating a dual system with the sterling area and a free exchange market principally with the US dollar, which was technically illegal from 1949 to 1967. ] Hong Kong economy specialist Leo Goodstadt argues that ministers and officials in London were bound to tolerate Hong Kong's situation, given Hong Kong's extensive trade with PRC, and the long collusion between officials in Hong Kong, bankers and local business communities. ] The People's Republic of China (PRC) established by the Chinese Communist Party in 1949 was in dire need for foreign currency, especially after the Korean War (1950–1953) and the Sino-Soviet split in the early 1960s for international trade with countries of non-Soviet bloc. The British sterling obtained through Hong Kong was able to finance 28% and 46% of PRC's total import from 1963 to 1967 and from 1970 to 1971 respectively. ] Of the British sterling obtained by PRC through Hong Kong during 1953 and 1971, about 40–50% was supplied by The Hongkong and Shanghai Banking Corporation (HSBC), the de facto "central bank" in Hong Kong, which accounted for 10% of annual foreign currency needed by PRC in the period. ] In the 1960s, the UK found it difficult to keep the
Corporation (HSBC), the de facto "central bank" in Hong Kong, which accounted for 10% of annual foreign currency needed by PRC in the period. ] In the 1960s, the UK found it difficult to keep the value of sterling as it was, with its role as official reserve currency even within the sterling area . In 1964, sterling was 83% of the official reserves of overseas sterling area countries, but this share had decreased to 75% in 1966 and to 65% in 1967. ] When sterling was devalued by the UK in 1967, and Hong Kong dollar's peg to the pound resulted in a re-valuation of Hong Kong dollar from $16 to $14.5, a 10% re-valuation against the pound and 5.7% devaluation against the US dollar. ] The unilateral devaluation sparked a circle of grievances among local business communities as well as colonial officials in Hong Kong because the official reserves and private savings in sterling were substantial from Hong Kong. In the 1950–60s, Hong Kong accumulated significant reserves in sterling with its economic growth, money supply was exponentially expanded from £140–£160 million in the late 1950s to £363 million in October 1967, equivalent to 10% of the UK's total sterling liabilities to the overseas sterling area before the devaluation. ] Subsequently, Hong Kong and London engaged in talks about compensation and protection against further losses. Considering the potential diversification of official reserves from sterling to the US dollars by the Hong Kong government officials, London agreed to offer exchange guarantees to protect Hong Kong against potential devaluation of sterling in the future, which was the first to receive such guarantees among the sterling area countries. ] After the US's cessation of the convertibility between gold and the U.S. dollar in October 1971, Britain abandoned the fixed exchange rate with the U.S. dollar and extended the exchange controls also to the Sterling Area countries, which put an effective end to the Sterling Area in 1972. ] In the same year, the Hong Kong dollar was pegged to the U.S. dollar at a rate of HK$5.65 = US$1, revised to HK$5.085 = US$1 in 1973. From 1974 to 1983, the Hong Kong dollar was not anchored to another currency, changing the monetary regime from a currency board system to a floating currency system. On 17 October 1983, the Hong Kong dollar was officially pegged to the U.S. dollar at a rate of HK$7.8 = US$1, officially switching back to the currency board system . The peg of Hong Kong dollar to the U.S. dollar in 1983 actually took place in the context of Sino-British negotiation regarding the future of Hong Kong after 1997. Due to the lack of public confidence in the talks, on 24 September 1983, the Hong Kong dollar was devalued by 15% over 2 days to a historical low at HK$9.6 to US$1. Public panic set in and there were runs on foodstuff on this Black Saturday (1983) . ] Amidst the monetary crisis, John Greenwood, an economist who was later dubbed the "architect of the Linked Exchange Rate System " in
and there were runs on foodstuff on this Black Saturday (1983) . ] Amidst the monetary crisis, John Greenwood, an economist who was later dubbed the "architect of the Linked Exchange Rate System " in Hong Kong, ] advocated the proposal to peg the Hong Kong dollar to the U.S. dollar with a return to the former currency board system. The proposal received support from two government officials within the Monetary Affairs Branch of the Hong Kong Government, namely the Deputy Secretary for Monetary Affairs Tony Latter and the Government Economist Alan McLean as a practical way to restore confidence in the Hong Kong dollar. ] After discussions between London and Hong Kong, the Financial Secretary of Hong Kong Government John Bremridge announced to peg the Hong Kong dollar with the U.S. dollar at a rate of HK$7.8 to US$1 in a currency board fashion on 17 October 1983. When recalling the choice of rate, Tony Latter notes that a rate of HK$7.25 to HK$7.50 was considered a reasonable range in macroeconomic terms, given the rate against the U.S. dollar around HK$6.60 before the crisis and the rate around HK$8.30 to HK$8.80 when the government's intention to change monetary regime was revealed in early October. In political terms, the government did not want to set the rate too weak so as to warrant international allegations of currency manipulation for competitive advantages, or too strong a rate that would result in high interest rates and the eventual abandonment of the rate. HK$7.8 was finally selected, as the government hoped to demonstrate that the situation has been properly stabilized and it was felt that the rate below HK$8.0 can achieve this purpose psychologically. ] John Bremridge was once quoted saying that the rate was somewhat "a number off the air", but the most important thing was the restoration of public confidence in Hong Kong dollar with the peg amidst the crisis. ] The solution in its current form was favored by government officials for reasons beyond monetary considerations. Financially, the currency peg was designed not to require the Bank of England to lend its reserves to maintain Hong Kong's currency peg. Politically, the currency board system well demonstrated the autonomy London has given to Hong Kong in economic policymaking amidst British negotiation with China to grant Hong Kong's higher autonomy after 1997. ] As envisioned, the currency board monetary regime continues to function with the same pegged rate beyond the handover of sovereignty of Hong Kong to China in 1997. The Basic Law of Hong Kong and the Sino-British Joint Declaration provides that Hong Kong retains full autonomy with respect to currency issuance. Currency in Hong Kong is issued by the government and three local banks ( HSBC , Bank of China and Standard Chartered ) under the supervision of the Hong Kong Monetary Authority , which was a semi-independent public body established in the early 1990s to regulate banks and manage exchange funds and serves until now
) under the supervision of the Hong Kong Monetary Authority , which was a semi-independent public body established in the early 1990s to regulate banks and manage exchange funds and serves until now as the territory's de facto " central bank ". ] Banknotes are printed by Hong Kong Note Printing Limited . A bank can issue a Hong Kong dollar only if it has the equivalent exchange in US dollars on deposit. The currency board system ensures that Hong Kong's entire monetary base is backed with US dollars at the linked exchange rate. The resources for the backing are kept in Hong Kong's exchange fund , which is among the largest official reserves in the world. Hong Kong also has huge deposits of US dollars, with official foreign currency reserves of US$361 billion as of March 2016. ] In a speech addressing the issue of who determines the monetary policy in Hong Kong on 13 May 2002, Tony Latter, in the position of the Deputy Chief Executive of the Hong Kong Monetary Authority (HKMA) , contended that the Financial Secretary together with the HKMA in the Hong Kong SAR Government were responsible for that. He acknowledged the heavy and direct influence of the Federal Reserve of the United States on Hong Kong's monetary policy under the currency peg, but argued that "It was Hong Kong's choice, and we do not require any permission from US to continue or discontinue it". ] As of 18 May 2005, in addition to the lower guaranteed limit, a new upper guaranteed limit was set for the Hong Kong dollar at HK$7.75 to the US dollar. The lower limit has been lowered from 7.80 to 7.85 (by 100 pips per week from 23 May to 20 June 2005). ] The Hong Kong Monetary Authority indicated this move is to narrow the gap between the interest rates in Hong Kong and those of the United States. A further aim of allowing the Hong Kong dollar to trade in a range is to avoid the HK dollar being used as a proxy for speculative bets on a renminbi revaluation. In formal Cantonese , the 圓 or 元 ( Cantonese Yale : yùn ) character is used. In informal Cantonese, 蚊 ( Cantonese Yale : mān ) is used. The use of the character 蚊 ( mān ) originate from the tone change of the currency denomination used in China in imperial times 文 ( Cantonese Yale : màn ), which was the chief denomination until the introduction of the yuan in the late 19th century. The dollar is divided into 100 cents, with the character 仙 ( Cantonese Yale : sīn , a transliteration of “cent”) used on coins and in informal Cantonese. However, 仙 is now only used in the stock market, as now it no longer has a note or coin form due to its small value, and is no longer used in regular cash transactions. The amount of 10 cents is called 1 hou ( 毫 ) in Cantonese . To express prices in informal Cantonese, for example HK$7.80, the phrase is 七個八 ( Cantonese Yale : chāt go baat ; lit. 'seven units eight'); in financial terms, where integer values in cents exist, e.g., HK$6.75, the phrase is 六個七毫半 ( Cantonese Yale : luhk go chāt hòu bun ; lit.
( Cantonese Yale : chāt go baat ; lit. 'seven units eight'); in financial terms, where integer values in cents exist, e.g., HK$6.75, the phrase is 六個七毫半 ( Cantonese Yale : luhk go chāt hòu bun ; lit. 'six units and seven dime half'; fives in cents is normally expressed as “half”, unless followed by another five, such as 55 cents when preceded by a dollar value); $7.08 is 七蚊零八仙 ( Cantonese Yale : chāt mān lìng baat sīn ; lit. 'seven dollars zero eight cents'). In Hong Kong, the following are slang terms used to refer to various amounts of money: Some of these terms are also used by overseas Chinese to refer their local currency. A slang term in English sometimes used for the Hong Kong dollar is "Honkie". ] In 1863, 1-mil ( 1 ⁄ 10 -cent), 1-cent and 10-cent coins were introduced, followed in 1866 by 5-cent and 20-cents , half-dollar and 1-dollar . The 1-mil and 1-cent were struck in bronze, with the 1 mil a holed coin. The remaining coins were struck in silver. Production of the 1-mil ended in 1866, whilst that of the half-dollar and 1-dollar ceased in 1868, with only the half-dollar (now with the denomination given as 50 cents) resuming production in 1890. Production of all silver coins was suspended in 1905, only briefly resumed in 1932 and 1933 for the production of 5-cent coins. In 1934, the last 1-cent coins were issued, but the last minting was 1941. These were not issued because the Japanese sank a ship carrying 1-cent coins bound for Hong Kong in the Second World War . The following year (1935), cupro-nickel 5 and 10 cents were introduced, replaced by nickel in 1937 and nickel-brass between 1948 and 1949. Copper-nickel 50 cents were issued in 1951 and first bore the name "fifty cents" in both Chinese and English, but these were changed to nickel-brass in 1977. In 1960, cupro-nickel 1-dollar coins were introduced, these were then reduced in size in 1978. They were followed in 1975 by nickel-brass 20 cents and cupro-nickel 2-dollar coin (both scallop shaped) and, in 1976, by decagonal , cupro-nickel 5-dollar coin , changed to a round thicker shape in 1980. The 5-cent coin was last issued in 1979, but last struck in 1988. In 1994, a bimetallic 10-dollar coin was introduced. Starting on New Year's Day (1 January) 1993 at stroke of midnight HKT , prior to the establishment of the HKSAR, coins with Queen Elizabeth II 's portrait were gradually withdrawn from circulation. Most of the notes and coins in circulations feature Hong Kong's Bauhinia flower or other symbols. Coins with the Queen's portrait are still legal tender and can be seen, but these are slowly being phased out. However, most still remain in legal tender and are in circulation. Because the redesign was highly sensitive with regard to political and economic reasons, the designing process of the new coins could not be entrusted to an artist but was undertaken by Joseph Yam , Chief Executive of the Hong Kong Monetary Authority , himself who found in the Bauhinia the requested
process of the new coins could not be entrusted to an artist but was undertaken by Joseph Yam , Chief Executive of the Hong Kong Monetary Authority , himself who found in the Bauhinia the requested "politically neutral design" and did a secret "scissors and paste job". ] In early 1997, to commemorate Hong Kong's transfer of sovereignty from Britain to the PRC , the government issued a new commemorative coin set which depicted Chinese cultural themes and Hong Kong's landmarks and 19 and 97, marking the year 1997, on each side of the designs. As of today, coins in denominations of HK$10 , HK$5 , HK$2 , HK$1 , 50 cents , 20 cents and 10 cents are issued by the Hong Kong Monetary Authority on behalf of the Government of Hong Kong . Banknotes circulated by the three different note issuers, 2023 ] The issue of Hong Kong dollar notes is governed today by the Hong Kong Monetary Authority (HKMA), the governmental currency board of Hong Kong. Under licence from the HKMA, three commercial banks issue their own banknotes for general circulation in the region. They are Hongkong and Shanghai Banking Corporation Limited ; the Bank of China (Hong Kong) Limited ; and the Standard Chartered Bank (Hong Kong) Limited . Notes are also issued by the HKMA itself. In most countries of the world the issue of banknotes is handled exclusively by a single central bank or government. The arrangements in Hong Kong are unusual but not unique; a comparable system is used in the United Kingdom , where seven banks issue banknotes. As of today, the three commercial banks, HSBC , Bank of China and Standard Chartered issue their own designs of banknotes in denominations of HK$20 , HK$50 , HK$100 , HK$500 and HK$1,000 , with all designs being similar to the other in the same denomination of banknote. While only the HK$10 banknote is issued solely by Hong Kong Monetary Authority on behalf of the Government of Hong Kong , which in total makes up the banknote circulation arrangement to four different note issuers. In 1845, the first private bank, the Oriental Bank , was founded. However, banknotes were not produced until the 1860s, when the Oriental Bank, the Chartered Bank of India, Australia and China and the Hong Kong and Shanghai Banking Corporation began issuing notes. Denominations issued in the 1860s and 1870s included 1, 5, 10, 25, 50, 100 and 500 dollars. These notes were not accepted by the Treasury for payment of government dues and taxes , although they were accepted for use by merchants. 25 dollar notes did not survive beyond the end of the 19th century, whilst the 1-dollar notes (only produced by the HSBC ) were issued until 1935. Under the Currency Ordinance of 1935, banknotes in denominations of 5 dollars and above issued by the three authorised local banks, the Mercantile Bank of India, London and China , the Chartered Bank of India, Australia and China and the Hong Kong and Shanghai Banking Corporation, were all declared legal tender. The government took over
Bank of India, London and China , the Chartered Bank of India, Australia and China and the Hong Kong and Shanghai Banking Corporation, were all declared legal tender. The government took over production of 1 dollar notes. In 1941, the government introduced notes for 1 cent , 5 cents and 10 cents due to the difficulty of transporting coins to Hong Kong caused by the Second World War (a ship carrying 1941 1-cent coins was sunk, making this unissued coin very rare). Just before the Japanese occupation, an emergency issue of 1 dollar notes was made consisting of overprinted Bank of China 5 yuan notes. In 1945, paper money production resumed essentially unaltered from before the war, with the government issuing 1 cent , 5 cents , 10 cents , and 1-dollar notes , and the three banks issuing 5, 10, 50, 100 and 500-dollar notes. 1-dollar notes were replaced by coins in 1960, with only the 1-cent note issued by the government after 1965. In 1975, the HK$5 notes were replaced by coins, whilst HK$1,000 notes were introduced in 1977. The Mercantile Bank was absorbed by the HSBC in 1978 and ceased issuing notes. In 1985, HK$20 notes were introduced, whilst, in 1993, HK$10 coins were introduced and the banks stopped issuing HK$10 notes. In 1994 the HKMA gave authority to the Bank of China to issue notes. On New Year's Day (1 January) 1993 at stroke of midnight HKT , HSBC , Bank of China and Standard Chartered officially introduced all new banknote designs. HSBC , Bank of China and Standard Chartered officially introduced a new series of banknotes on New Year's Day (1 January) 1993 at stroke of midnight HKT in denominations of $10 , $20 , $25 , $50 , $100 , $500 and $1000 . After a less-than-successful trial from 1994 to 2002 to move the HK$10 denomination from the banknote format (issued by the banks) to the coin format (Government-issued), HK$10 notes are currently the only denomination issued by the HKMA, having acquired the note printing plant at Tai Po from the De La Rue Group of the UK on behalf of the Government. These notes were printed in paper in 2002 and in polymer since 2007. All older HK$10 banknotes, although rare and being phased out, remain legal tender. The latest series of banknotes was issued starting in 2018. Commemorative banknotes have also been issued celebrating the note-issuing banks' anniversaries as well as the Olympic Games held in Beijing in 2008 and 2022. Since 1983, the linked exchange rate system is a unique type of exchange rate regime used for the Hong Kong dollar to be pegged with the United States dollar at a fixed rate of HK$7.80 = US$1. In this unique linked exchange rate system, the Hong Kong Monetary Authority (HKMA) authorises the three note-issuing commercial banks to freely issue new banknotes provided that they deposit an equivalent value of United States dollars with the HKMA. In practice, in the unique linked exchange rate system, the exchange rate of HK$7.80 = US$1, is strictly controlled by the Hong Kong Monetary
equivalent value of United States dollars with the HKMA. In practice, in the unique linked exchange rate system, the exchange rate of HK$7.80 = US$1, is strictly controlled by the Hong Kong Monetary Authority in the foreign exchange market by controlling supply and demand of Hong Kong dollars in order to influence the exchange rate being fixed. By this arrangement the HKMA guarantees to exchange United States dollar into Hong Kong dollars and vice versa, at the rate of 7.80. When the market rate is below 7.80, the banks will convert United States dollar for Hong Kong dollars from the HKMA, Hong Kong dollars supply will increase, and the market rate will climb back to 7.80. The same mechanism also works when the market rate is above 7.80, and the banks will convert Hong Kong dollars for United States dollars. By this arrangement, the Hong Kong dollar is backed by one of the world's largest foreign exchange reserves , which is over 7 times the amount of money supplied in circulation or about 48% of Hong Kong dollar M3 at the end of April 2016. ] Following the Internationalization of the renminbi in the late 2000s and the inclusion of the Renminbi in the special drawing rights , there has been some debates to peg the Hong Kong dollar with the Renminbi, instead of the United States dollar. Studies shows that, if the Hong Kong dollar were to be re-pegged to the Renminbi, it would need over 2 trillion Renminbi worth of assets to replace the HKMA's US$340 billion in foreign reserves as of 2015, which exceeds the amount of existing Renminbi assets in Hong Kong's offshore market. Moreover, according to figures from the HKMA as of the end of 2014, Renminbi deposits and certificates of deposits stood at 1.158 trillion Renminbi, while outstanding Renminbi bonds amounted to 381 billion and Renminbi-denominated loans stood at 188 billion. ] Other studies shows, while the Hong Kong's financial and economic links are increasingly dominated by mainland China , and previous concerns about the monetary openness of China's capital account are slowly receding, if China continues to open its capital account, the peg could shift from United States dollar to renminbi. ] However, in January 2016, the volatility in the Renminbi and China's financial markets expanded to Hong Kong's markets and its currency. Renminbi offshore overnight borrowing rate, CNH HIBOR, soared to 66.8% on 12 January after the People's Bank of China , China's central bank (PBOC), intervened in the effort of squeezing out Renminbi short speculations by tightening liquidity at Hong Kong commercial banks. The PBOC's move at the offshore market, coupled with another plunge in Chinese stocks, has led to investors’ fears that the Hong Kong Dollar may be de-pegged from the US Dollar in the foreseeable future. In response to the market speculation, Hong Kong Monetary Authority said on 27 January that the regulator will protect Hong Kong dollar's linked exchange rate regime. As Hong Kong's financial markets
In response to the market speculation, Hong Kong Monetary Authority said on 27 January that the regulator will protect Hong Kong dollar's linked exchange rate regime. As Hong Kong's financial markets are highly impacted by mainland China, the Renminbi exchange rate as well as China's equity market remain in a state of high volatility and continues to weigh on Hong Kong markets and the Hong Kong dollar. However, the greater influence remains the US Federal Reserve, as whenever it raises interest rates and sends the US Dollar higher, the linked Hong Kong Dollar would become more expensive than un-pegged currencies including the Chinese Yuan. ] (for issue and redemption of Certificates of Indebtedness) (The HKMA undertook to convert the HK dollars in licensed banks’ clearing acc
This is an accepted version of this page The United States dollar ( symbol : $ ; currency code : USD ; also abbreviated US$ to distinguish it from other dollar-denominated currencies ; referred to as the dollar , U.S. dollar , American dollar , or colloquially buck ) is the official currency of the United States and several other countries . The Coinage Act of 1792 introduced the U.S. dollar at par with the Spanish silver dollar , divided it into 100 cents , and authorized the minting of coins denominated in dollars and cents. U.S. banknotes are issued in the form of Federal Reserve Notes , popularly called greenbacks due to their predominantly green color. The monetary policy of the United States is conducted by the Federal Reserve System , which acts as the nation's central bank . The U.S. dollar was originally defined under a bimetallic standard of 371.25 grains (24.057 g) (0.7734375 troy ounces) fine silver or, from 1834 , ] 23.22 grains (1.505 g) fine gold, or $20.67 per troy ounce . The Gold Standard Act of 1900 linked the dollar solely to gold. From 1934, its equivalence to gold was revised to $35 per troy ounce . In 1971 all links to gold were repealed. ] The U.S. dollar became an important international reserve currency after the First World War , and displaced the pound sterling as the world's primary reserve currency by the Bretton Woods Agreement towards the end of the Second World War . The dollar is the most widely used currency in international transactions , ] and a free-floating currency . It is also the official currency in several countries and the de facto currency in many others, ] ] with Federal Reserve Notes (and, in a few cases, U.S. coins) used in circulation. As of February 10, 2021, currency in circulation amounted to US$2.10 trillion , $2.05 trillion of which is in Federal Reserve Notes (the remaining $50 billion is in the form of coins and older-style United States Notes ). ] As of September 20, 2023, the Federal Reserve estimated that the total amount of currency in circulation was approximately US$2.33 trillion . ] Article I , Section 8 of the U.S. Constitution provides that Congress has the power "o coin money ." ] Laws implementing this power are currently codified in Title 31 of the U.S. Code , under Section 5112, which prescribes the forms in which the United States dollars should be issued. ] These coins are both designated in the section as " legal tender " in payment of debts. ] The Sacagawea dollar is one example of the copper alloy dollar, in contrast to the American Silver Eagle which is pure silver . Section 5112 also provides for the minting and issuance of other coins, which have values ranging from one cent ( U.S. Penny ) to 100 dollars. ] These other coins are more fully described in Coins of the United States dollar . Article I, Section 9 of the Constitution provides that "a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time", ]
States dollar . Article I, Section 9 of the Constitution provides that "a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time", ] which is further specified by Section 331 of Title 31 of the U.S. Code. ] The sums of money reported in the "Statements" are currently expressed in U.S. dollars, thus the U.S. dollar may be described as the unit of account of the United States. ] "Dollar" is one of the first words of Section 9, in which the term refers to the Spanish milled dollar , or the coin worth eight Spanish reales . In 1792, the U.S. Congress passed the Coinage Act , of which Section 9 authorized the production of various coins, including: ] : 248 .mw-parser-output .templatequote{overflow:hidden;margin:1em 0;padding:0 32px}.mw-parser-output .templatequotecite{line-height:1.5em;text-align:left;margin-top:0}@media(min-width:500px){.mw-parser-output .templatequotecite{padding-left:1.6em}} Dollars or Units —each to be of the value of a Spanish milled dollar as the same is now current, and to contain three hundred and seventy-one grains and four sixteenth parts of a grain of pure, or four hundred and sixteen grains of standard silver. Section 20 of the Act designates the United States dollar as the unit of currency of the United States: ] : 250–1 he money of account of the United States shall be expressed in dollars, or units...and that all accounts in the public offices and all proceedings in the courts of the United States shall be kept and had in conformity to this regulation. Unlike the Spanish milled dollar, the Continental Congress and the Coinage Act prescribed a decimal system of units to go with the unit dollar, as follows: ] ] the mill , or one-thousandth of a dollar; the cent , or one-hundredth of a dollar; the dime , or one-tenth of a dollar; and the eagle , or ten dollars. The current relevance of these units: The Spanish peso or dollar was historically divided into eight reales (colloquially, bits ) – hence pieces of eight . Americans also learned counting in non-decimal bits of 12 + 1 ⁄ 2 cents before 1857 when Mexican bits were more frequently encountered than American cents; in fact this practice survived in New York Stock Exchange quotations until 2001. ] ] In 1854, Secretary of the Treasury James Guthrie proposed creating $100, $50, and $25 gold coins, to be referred to as a union , half union , and quarter union , respectively, ] thus implying a denomination of 1 Union = $100. However, no such coins were ever struck, and only patterns for the $50 half union exist. When currently issued in circulating form, denominations less than or equal to a dollar are emitted as U.S. coins , while denominations greater than or equal to a dollar are emitted as Federal Reserve Notes , disregarding these special cases: In the 16th century, Count Hieronymus Schlick of Bohemia began minting coins known as joachimstalers , named for Joachimstal , the valley in which the silver was
, disregarding these special cases: In the 16th century, Count Hieronymus Schlick of Bohemia began minting coins known as joachimstalers , named for Joachimstal , the valley in which the silver was mined. In turn, the valley's name is titled after Saint Joachim , whereby thal or tal , a cognate of the English word dale , is German for 'valley.' ] The joachimstaler was later shortened to the German taler , a word that eventually found its way into many languages, including: ] tolar ( Czech , Slovak and Slovenian ); daler ( Danish and Swedish ); talar ( Polish ); dalar and daler ( Norwegian ); daler or daalder ( Dutch ); talari ( Ethiopian ); tallér ( Hungarian ); tallero ( Italian ); دولار ( Arabic ); and dollar ( English ). Though the Dutch pioneered in modern-day New York in the 17th century the use and the counting of money in silver dollars in the form of German-Dutch reichsthalers and native Dutch leeuwendaalders ('lion dollars'), it was the ubiquitous Spanish American eight-real coin which became exclusively known as the dollar since the 18th century. ] The colloquialism buck(s) (much like the British quid for the pound sterling ) is often used to refer to dollars of various nations, including the U.S. dollar. This term, dating to the 18th century, may have originated with the colonial leather trade, or it may also have originated from a poker term. ] Greenback is another nickname, originally applied specifically to the 19th-century Demand Note dollars, which were printed black and green on the backside, created by Abraham Lincoln to finance the North for the Civil War . ] It is still used to refer to the U.S. dollar (but not to the dollars of other countries). The term greenback is also used by the financial press in other countries, such as Australia , ] New Zealand , ] South Africa , ] and India . ] Other well-known names of the dollar as a whole in denominations include greenmail , green , and dead presidents , the latter of which referring to the deceased presidents pictured on most bills. Dollars in general have also been known as bones (e.g. "twenty bones" = $20). The newer designs, with portraits displayed in the main body of the obverse (rather than in cameo insets), upon paper color-coded by denomination, are sometimes referred to as bigface notes or Monopoly money . citation needed ] Piastre was the original French word for the U.S. dollar, used for example in the French text of the Louisiana Purchase . Though the U.S. dollar is called dollar in Modern French, the term piastre is still used among the speakers of Cajun French and New England French , as well as speakers in Haiti and other French-speaking Caribbean islands. Nicknames specific to denomination: The symbol $ , usually written before the numerical amount, is used for the U.S. dollar (as well as for many other currencies). The sign was perhaps the result of a late 18th-century evolution of the scribal abbreviation p s for the peso , the common name for the Spanish
the U.S. dollar (as well as for many other currencies). The sign was perhaps the result of a late 18th-century evolution of the scribal abbreviation p s for the peso , the common name for the Spanish dollars that were in wide circulation in the New World from the 16th to the 19th centuries. The p and the s eventually came to be written over each other giving rise to $ . ] ] ] ] Another popular explanation is that it is derived from the Pillars of Hercules on the Spanish coat of arms of the Spanish dollar . These Pillars of Hercules on the silver Spanish dollar coins take the form of two vertical bars ( \|\| ) and a swinging cloth band in the shape of an S . citation needed ] Yet another explanation suggests that the dollar sign was formed from the capital letters U and S written or printed one on top of the other. This theory, popularized by novelist Ayn Rand in Atlas Shrugged , ] does not consider the fact that the symbol was already in use before the formation of the United States. ] The U.S. dollar was introduced at par with the Spanish-American silver dollar (or Spanish peso , Spanish milled dollar , eight-real coin , piece-of-eight ). The latter was produced from the rich silver mine output of Spanish America , was minted in Mexico City , Potosí (Bolivia), Lima (Peru), and elsewhere, and was in wide circulation throughout the Americas, Asia, and Europe from the 16th to the 19th centuries. The minting of machine-milled Spanish dollars since 1732 boosted its worldwide reputation as a trade coin and positioned it to be the model for the new currency of the United States . citation needed ] Even after the United States Mint commenced issuing coins in 1792, locally minted dollars and cents were less abundant in circulation than Spanish American pesos and reales ; hence Spanish, Mexican, and American dollars all remained legal tender in the United States until the Coinage Act of 1857 . In particular, colonists' familiarity with the Spanish two- real quarter peso was the reason for issuing a quasi-decimal 25-cent quarter dollar coin rather than a 20-cent coin. citation needed ] For the relationship between the Spanish dollar and the individual state colonial currencies, see Connecticut pound , Delaware pound , Georgia pound , Maryland pound , Massachusetts pound , New Hampshire pound , New Jersey pound , New York pound , North Carolina pound , Pennsylvania pound , Rhode Island pound , South Carolina pound , and Virginia pound . citation needed ] On July 6, 1785, the Continental Congress resolved that the money unit of the United States, the dollar, would contain 375.64 grains of fine silver; on August 8, 1786, the Continental Congress continued that definition and further resolved that the money of account, corresponding with the division of coins, would proceed in a decimal ratio , with the sub-units being mills at 0.001 of a dollar, cents at 0.010 of a dollar, and dimes at 0.100 of a dollar. ] After the adoption of the United States Constitution ,
proceed in a decimal ratio , with the sub-units being mills at 0.001 of a dollar, cents at 0.010 of a dollar, and dimes at 0.100 of a dollar. ] After the adoption of the United States Constitution , the U.S. dollar was defined by the Coinage Act of 1792 . It specified a "dollar" based on the Spanish milled dollar to contain 371 + 4 ⁄ 16 grains of fine silver, or 416.0 grains (26.96 g) of "standard silver" of fineness 371.2515 = 24.73 grains fine gold or 26.98 grains 22K gold. Rounding the latter to 27.0 grains finalized the dollar's standard to 24.75 grains of fine gold or 24.75*15 = 371.25 grains = 24.0566 grams = 0.7735 troy ounces of fine silver. The same coinage act also set the value of an eagle at 10 dollars, and the dollar at 1 ⁄ 10 eagle. It called for silver coins in denominations of 1, 1 ⁄ 2 , 1 ⁄ 4 , 1 ⁄ 10 , and 1 ⁄ 20 dollar, as well as gold coins in denominations of 1, 1 ⁄ 2 and 1 ⁄ 4 eagle. The value of gold or silver contained in the dollar was then converted into relative value in the economy for the buying and selling of goods. This allowed the value of things to remain fairly constant over time, except for the influx and outflux of gold and silver in the nation's economy. ] Though a Spanish dollar freshly minted after 1772 theoretically contained 417.7 grains of silver of fineness 130/144 (or 377.1 grains fine silver), reliable assays of the period in fact confirmed a fine silver content of 370.95 grains (24.037 g) for the average Spanish dollar in circulation. ] The new U.S. silver dollar of 371.25 grains (24.057 g) therefore compared favorably and was received at par with the Spanish dollar for foreign payments, and after 1803 the United States Mint had to suspend making this coin out of its limited resources since it failed to stay in domestic circulation. It was only after Mexican independence in 1821 when their peso's fine silver content of 377.1 grains was firmly upheld, which the U.S. later had to compete with using a heavier 378.0 grains (24.49 g) Trade dollar coin . The early currency of the United States did not exhibit faces of presidents, as is the custom now; ] although today, by law, only the portrait of a deceased individual may appear on United States currency. ] In fact, the newly formed government was against having portraits of leaders on the currency, a practice compared to the policies of European monarchs. ] The currency as we know it today did not get the faces they currently have until after the early 20th century; before that "heads" side of coinage used profile faces and striding, seated, and standing figures from Greek and Roman mythology and composite Native Americans. The last coins to be converted to profiles of historic Americans were the dime (1946), the half Dollar (1948), and the Dollar (1971). After the American Revolution , the Thirteen Colonies became independent . Freed from British monetary regulations, they each issued £sd paper money to pay for military expenses. The Continental
After the American Revolution , the Thirteen Colonies became independent . Freed from British monetary regulations, they each issued £sd paper money to pay for military expenses. The Continental Congress also began issuing "Continental Currency" denominated in Spanish dollars. For its value relative to states' currencies, see Early American currency . Continental currency depreciated badly during the war, giving rise to the famous phrase "not worth a continental". ] A primary problem was that monetary policy was not coordinated between Congress and the states, which continued to issue bills of credit. Additionally, neither Congress nor the governments of the several states had the will or the means to retire the bills from circulation through taxation or the sale of bonds. ] The currency was ultimately replaced by the silver dollar at the rate of 1 silver dollar to 1000 continental dollars. This resulted in the clause "No state shall... make anything but gold and silver coin a tender in payment of debts" being written into the United States Constitution article 1, section 10 . From implementation of the 1792 Mint Act to the 1900 implementation of the gold standard , the dollar was on a bimetallic silver-and-gold standard, defined as either 371.25 grains (24.056 g) of fine silver or 24.75 grains of fine gold (gold-silver ratio 15). Subsequent to the Coinage Act of 1834 the dollar's fine gold equivalent was revised to 23.2 grains; it was slightly adjusted to 23.22 grains (1.505 g) in 1837 (gold-silver ratio ~16). The same act also resolved the difficulty in minting the "standard silver" of 89.24% fineness by revising the dollar's alloy to 412.5 grains, 90% silver, still containing 371.25 grains fine silver. Gold was also revised to 90% fineness: 25.8 grains gross, 23.22 grains fine gold. Following the rise in the price of silver during the California Gold Rush and the disappearance of circulating silver coins, the Coinage Act of 1853 reduced the standard for silver coins less than $1 from 412.5 grains to 384 grains (24.9 g), 90% silver per 100 cents (slightly revised to 25.0 g, 90% silver in 1873). The Act also limited the free silver right of individuals to convert bullion into only one coin, the silver dollar of 412.5 grains; smaller coins of lower standard can only be produced by the United States Mint using its own bullion. Summary and links to coins issued in the 19th century: In order to finance the War of 1812 , Congress authorized the issuance of Treasury Notes , interest-bearing short-term debt that could be used to pay public dues. While they were intended to serve as debt, they did function "to a limited extent" as money. Treasury Notes were again printed to help resolve the reduction in public revenues resulting from the Panic of 1837 and the Panic of 1857 , as well as to help finance the Mexican–American War and the Civil War . Paper money was issued again in 1862 without the backing of precious metals due to the Civil War . In
and the Panic of 1857 , as well as to help finance the Mexican–American War and the Civil War . Paper money was issued again in 1862 without the backing of precious metals due to the Civil War . In addition to Treasury Notes, Congress in 1861 authorized the Treasury to borrow $50 million in the form of Demand Notes , which did not bear interest but could be redeemed on demand for precious metals. However, by December 1861, the Union government's supply of specie was outstripped by demand for redemption and they were forced to suspend redemption temporarily. In February 1862 Congress passed the Legal Tender Act of 1862 , issuing United States Notes , which were not redeemable on demand and bore no interest, but were legal tender , meaning that creditors had to accept them at face value for any payment except for public debts and import tariffs. However, silver and gold coins continued to be issued, resulting in the depreciation of the newly printed notes through Gresham's law . In 1869, Supreme Court ruled in Hepburn v. Griswold that Congress could not require creditors to accept United States Notes, but overturned that ruling the next year in the Legal Tender Cases . In 1875, Congress passed the Specie Payment Resumption Act , requiring the Treasury to allow U.S. Notes to be redeemed for gold after January 1, 1879. Though the dollar came under the gold standard de jure only after 1900, the bimetallic era was ended de facto when the Coinage Act of 1873 suspended the minting of the standard silver dollar of 412.5 Troy grains = 26.73 g; 0.859 ozt, the only fully legal tender coin that individuals could convert bullion into in unlimited (or Free silver ) quantities, ] and right at the onset of the silver rush from the Comstock Lode in the 1870s. This was the so-called "Crime of '73". The Gold Standard Act of 1900 repealed the U.S. dollar's historic link to silver and defined it solely as 23.22 grains (1.505 g) of fine gold (or $20.67 per troy ounce of 480 grains). In 1933, gold coins were confiscated by Executive Order 6102 under Franklin D. Roosevelt , and in 1934 the standard was changed to $35 per troy ounce fine gold, or 13.71 grains (0.888 g) per dollar. After 1968 a series of revisions to the gold peg was implemented, culminating in the Nixon Shock of August 15, 1971, which suddenly ended the convertibility of dollars to gold. The U.S. dollar has since floated freely on the foreign exchange markets . citation needed ] Congress continued to issue paper money after the Civil War, the latest of which is the Federal Reserve Note that was authorized by the Federal Reserve Act of 1913 . Since the discontinuation of all other types of notes (Gold Certificates in 1933, Silver Certificates in 1963, and United States Notes in 1971), U.S. dollar notes have since been issued exclusively as Federal Reserve Notes . The U.S. dollar first emerged as an important international reserve currency in the 1920s, displacing the British pound sterling as it emerged
since been issued exclusively as Federal Reserve Notes . The U.S. dollar first emerged as an important international reserve currency in the 1920s, displacing the British pound sterling as it emerged from the First World War relatively unscathed and since the United States was a significant recipient of wartime gold inflows. After the United States emerged as an even stronger global superpower during the Second World War , the Bretton Woods Agreement of 1944 established the U.S. dollar as the world's primary reserve currency and the only post-war currency linked to gold. Despite all links to gold being severed in 1971, the dollar continues to be the world's foremost reserve currency for international trade to this day. The Bretton Woods Agreement of 1944 also defined the post-World War II monetary order and relations among modern-day independent states , by setting up a system of rules, institutions, and procedures to regulate the international monetary system . The agreement founded the International Monetary Fund and other institutions of the modern-day World Bank Group , establishing the infrastructure for conducting international payments and accessing the global capital markets using the U.S. dollar. The monetary policy of the United States is conducted by the Federal Reserve System , which acts as the nation's central bank . It was founded in 1913 under the Federal Reserve Act in order to furnish an elastic currency for the United States and to supervise its banking system, particularly in the aftermath of the Panic of 1907 . For most of the post-war period, the U.S. government has financed its own spending by borrowing heavily from the dollar-lubricated global capital markets, in debts denominated in its own currency and at minimal interest rates. This ability to borrow heavily without facing a significant balance of payments crisis has been described as the United States 's exorbitant privilege . The United States Mint has issued legal tender coins every year from 1792 to the present. From 1934 to the present, the only denominations produced for circulation have been the familiar penny, nickel, dime, quarter, half dollar, and dollar. (2000) Gold and silver coins have been previously minted for general circulation from the 18th to the 20th centuries. The last gold coins were minted in 1933. The last 90% silver coins were minted in 1964, and the last 40% silver half dollar was minted in 1970. The United States Mint currently produces circulating coins at the Philadelphia and Denver Mints , and commemorative and proof coins for collectors at the San Francisco and West Point Mints . Mint mark conventions for these and for past mint branches are discussed in Coins of the United States dollar#Mint marks . The one-dollar coin has never been in popular circulation from 1794 to present, despite several attempts to increase their usage since the 1970s, the most important reason of which is the continued production and popularity of the one-dollar
circulation from 1794 to present, despite several attempts to increase their usage since the 1970s, the most important reason of which is the continued production and popularity of the one-dollar bill . ] Half dollar coins were commonly used currency since inception in 1794, but has fallen out of use from the mid-1960s when all silver half dollars began to be hoarded. The nickel is the only coin whose size and composition (5 grams, 75% copper, and 25% nickel) is still in use from 1865 to today, except for wartime 1942–1945 Jefferson nickels which contained silver. Due to the penny's low value, some efforts have been made to eliminate the penny as circulating coinage. ] ] For a discussion of other discontinued and canceled denominations, see Obsolete denominations of United States currency and Canceled denominations of United States currency . Collector coins are technically legal tender at face value but are usually worth far more due to their numismatic value or for their precious metal content. These include: The U.S. Constitution provides that Congress shall have the power to "borrow money on the credit of the United States." ] Congress has exercised that power by authorizing Federal Reserve Banks to issue Federal Reserve Notes . Those notes are "obligations of the United States" and "shall be redeemed in lawful money on demand at the Treasury Department of the United States, in the city of Washington, District of Columbia, or at any Federal Reserve bank". ] Federal Reserve Notes are designated by law as " legal tender " for the payment of debts. ] Congress has also authorized the issuance of more than 10 other types of banknotes , including the United States Note ] and the Federal Reserve Bank Note . The Federal Reserve Note is the only type that remains in circulation since the 1970s. Federal Reserve Notes are printed by the Bureau of Engraving and Printing and are made from cotton fiber paper (as opposed to wood fiber used to make common paper). The " large-sized notes " issued before 1928 measured 7.42 in × 3.125 in (188.5 mm × 79.4 mm), while small-sized notes introduced that year measure 6.14 in × 2.61 in × 0.0043 in (155.96 mm × 66.29 mm × 0.11 mm). ] The dimensions of the modern (small-size) U.S. currency is identical to the size of Philippine peso banknotes issued under United States administration after 1903, which had proven highly successful. ] The American large-note bills became known as "horse blankets" or "saddle blankets". ] Currently printed denominations are $1 , $2 , $5 , $10 , $20 , $50 , and $100 . Notes above the $100 denomination stopped being printed in 1946 and were officially withdrawn from circulation in 1969. These notes were used primarily in inter-bank transactions or by organized crime ; it was the latter usage that prompted President Richard Nixon to issue an executive order in 1969 halting their use. With the advent of electronic banking, they became less necessary. Notes in denominations of $500 , $1,000 ,
prompted President Richard Nixon to issue an executive order in 1969 halting their use. With the advent of electronic banking, they became less necessary. Notes in denominations of $500 , $1,000 , $5,000 , $10,000 (discontinued, but still legal tender); $100,000 were all produced at one time; see large denomination bills in U.S. currency for details. With the exception of the $100,000 bill (which was only issued as a Series 1934 Gold Certificate and was never publicly circulated; thus it is illegal to own), these notes are now collectors' items and are worth more than their face value to collectors. Though still predominantly green, the post-2004 series incorporate other colors to better distinguish different denominations. As a result of a 2008 decision in an accessibility lawsuit filed by the American Council of the Blind , the Bureau of Engraving and Printing is planning to implement a raised tactile feature in the next redesign of each note, except the $1 and the current version of the $100 bill. It also plans larger, higher-contrast numerals, more color differences, and distribution of currency readers to assist the visually impaired during the transition period. ] The Federal Reserve Act created the Federal Reserve System in 1913 as the [central bank
in Europe (dark grey) The European Union ( EU ) is a supranational political and economic union of 27 member states that are located primarily in Europe. ] ] The Union has a total area of 4,233,255 km 2 (1,634,469 sq mi) and an estimated total population of over 449 million. The EU has often been described as a sui generis political entity combining the characteristics of both a federation and a confederation . ] ] Containing 5.8% of the world population in 2020, ] EU member states generated a nominal gross domestic product (GDP) of around US$16.6 trillion in 2022, constituting approximately one sixth of global nominal GDP . ] Additionally, all EU states except Bulgaria have a very high Human Development Index according to the United Nations Development Programme . Its cornerstone, the Customs Union , paved the way to establishing an internal single market based on standardised legal framework and legislation that applies in all member states in those matters, and only those matters, where the states have agreed to act as one. EU policies aim to ensure the free movement of people, goods, services and capital within the internal market; ] enact legislation in justice and home affairs; and maintain common policies on trade , ] agriculture , ] fisheries and regional development . ] Passport controls have been abolished for travel within the Schengen Area . ] The eurozone is a group composed of the 20 EU member states that have fully implemented the economic and monetary union and use the euro currency . Through the Common Foreign and Security Policy , the union has developed a role in external relations and defence . It maintains permanent diplomatic missions throughout the world and represents itself at the United Nations , the World Trade Organization , the G7 and the G20 . Due to its global influence, the European Union has been described by some scholars as an emerging superpower . ] ] ] The EU was established, along with its citizenship , when the Maastricht Treaty came into force in 1993, and was incorporated as an international legal juridical person clarification needed ] upon entry into force of the Treaty of Lisbon in 2009 . ] Its beginnings can be traced to the Inner Six states (Belgium, France, Italy, Luxembourg, the Netherlands, and West Germany ) at the start of modern European integration in 1948, and to the Western Union , the International Authority for the Ruhr , the European Coal and Steel Community , the European Economic Community and the European Atomic Energy Community , which were established by treaties. These increasingly amalgamated bodies grew, with their legal successor the EU, both in size through the accessions of a further 22 states from 1973 to 2013, and in power through acquisitions of policy areas. In 2012, the EU was awarded the Nobel Peace Prize . ] The United Kingdom became the only member state to leave the EU , in 2020; ] ten countries are aspiring or negotiating to join it . Internationalism and visions of
awarded the Nobel Peace Prize . ] The United Kingdom became the only member state to leave the EU , in 2020; ] ten countries are aspiring or negotiating to join it . Internationalism and visions of European unity had existed since well before the 19th century, but gained particularly as a reaction to World War I and its aftermath. In this light the first advances for the idea of European integration were made. In 1920 John Maynard Keynes proposed a European customs union for the struggling post-war European economies, ] and in 1923 the oldest organisation for European integration, the Paneuropean Union was founded, led by Richard von Coudenhove-Kalergi , who later would found in June 1947 the European Parliamentary Union (EPU). Aristide Briand —who was Prime Minister of France , a follower of the Paneuropean Union, and Nobel Peace Prize laureate for the Locarno Treaties —delivered a widely recognized speech at the League of Nations in Geneva on 5 September 1929 for a federal Europe to secure Europe and settle the historic Franco-German enmity . ] ] With large-scale war being waged in Europe once again in the 1930s and becoming World War II , the question of what to fight against and what for, had to be agreed on. A first agreement was the Declaration of St James's Palace of 1941, when Europe's resistance gathered in London. This was expanded on by the 1941 Atlantic Charter , establishing the Allies and their common goals, inciting a new wave of global international institutions like the United Nations ( founded 1945 ) or the Bretton Woods System (1944). ] In 1943 at the Moscow Conference and Tehran Conference , plans to establish joint institutions for a post-war world and Europe increasingly became a part of the agenda. This led to a decision at the Yalta Conference in 1944 to form a European Advisory Commission , later replaced by the Council of Foreign Ministers and the Allied Control Council , following the German surrender and the Potsdam Agreement in 1945. By the end of the war, European integration became seen as an antidote to the extreme nationalism that had caused the war. ] On 19 September 1946, in a much recognized speech, Winston Churchill , speaking at the University of Zürich , reiterated his calls since 1930 for a "European Union" and "Council of Europe", coincidentally ] parallel clarification needed ] to the Hertenstein Congress of the Union of European Federalists , ] one of the then founded and later constituting members of the European Movement . One month later, the French Union was installed by the new Fourth French Republic to direct the decolonization of its colonies so that they would become parts of a European community. ] By 1947 a growing rift between the western Allied Powers and the Soviet Union became evident as a result of the rigged 1947 Polish legislative election , which constituted an open breach of the Yalta Agreement . March of that year saw two important developments. First was the signing of the Treaty of
of the rigged 1947 Polish legislative election , which constituted an open breach of the Yalta Agreement . March of that year saw two important developments. First was the signing of the Treaty of Dunkirk between France and the United Kingdom . The treaty assured mutual assistance in the event of future military aggression against either nation. Though it officially named Germany as a threat, in reality the actual concern was for the Soviet Union. A few days later came the announcement of the Truman Doctrine which pledged American support for democracies to counter the Soviets. Immediately following the February 1948 coup d'état by the Communist Party of Czechoslovakia , the London Six-Power Conference was held, resulting in the Soviet boycott of the Allied Control Council and its incapacitation, an event marking the beginning of the Cold War . The year 1948 marked the beginning of the institutionalised modern European integration . In March 1948 the Treaty of Brussels was signed, establishing the Western Union (WU), followed by the International Authority for the Ruhr . Furthermore, the Organisation for European Economic Co-operation (OEEC), the predecessor of the OECD, was also founded in 1948 to manage the Marshall Plan , which led to the Soviets creating Comecon in response. The ensuing Hague Congress of May 1948 was a pivotal moment in European integration, as it led to the creation of the European Movement International , the College of Europe ] and most importantly to the foundation of the Council of Europe on 5 May 1949 (which is now Europe Day ). The Council of Europe was one of the first institutions to bring the sovereign states of (then only Western) Europe together, raising great hopes and fevered debates in the following two years for further European integration. citation needed ] It has since been a broad forum to further cooperation and shared issues, achieving for example the European Convention on Human Rights in 1950. Essential for the actual birth of the institutions of the EU was the Schuman Declaration on 9 May 1950 (the day after the fifth Victory in Europe Day ) and the decision by six nations (France, Belgium, Netherlands, Luxembourg, West Germany and Italy) to follow Schuman and draft the Treaty of Paris . This treaty was created in 1952 the European Coal and Steel Community (ECSC), which was built on the International Authority for the Ruhr , installed by the Western Allies in 1949 to regulate the coal and steel industries of the Ruhr area in West Germany. ] Backed by the Marshall Plan with large funds coming from the United States since 1948, the ECSC became a milestone organisation, enabling European economic development and integration and being the origin of the main institutions of the EU such as the European Commission and Parliament . ] Founding fathers of the European Union understood that coal and steel were the two industries essential for waging war, and believed that by tying their national industries
and Parliament . ] Founding fathers of the European Union understood that coal and steel were the two industries essential for waging war, and believed that by tying their national industries together, a future war between their nations became much less likely. ] In parallel with Schuman, the Pleven Plan of 1951 tried but failed to tie the institutions of the developing European community under the European Political Community , which was to include the also proposed European Defence Community , an alternative to West Germany joining NATO which was established in 1949 under the Truman Doctrine . In 1954 the Modified Brussels Treaty transformed the Western Union into the Western European Union (WEU). West Germany eventually joined both the WEU and NATO in 1955, prompting the Soviet Union to form the Warsaw Pact in 1955 as an institutional framework for its military domination in the countries of Central and Eastern Europe . Assessing the progress of European integration the Messina Conference was held in 1955, ordering the Spaak report , which in 1956 recommended the next significant steps of European integration. In 1957, Belgium , France , Italy , Luxembourg , the Netherlands , and West Germany signed the Treaty of Rome , which created the European Economic Community (EEC) and established a customs union . They also signed another pact creating the European Atomic Energy Community (Euratom) for cooperation in developing nuclear power. Both treaties came into force in 1958. ] Although the EEC and Euratom were created separately from the ECSC, they shared the same courts and the Common Assembly. The EEC was headed by Walter Hallstein ( Hallstein Commission ) and Euratom was headed by Louis Armand ( Armand Commission ) and then Étienne Hirsch ( Hirsch Commission ). ] ] The OEEC was in turn reformed in 1961 into the Organisation for Economic Co-operation and Development (OECD) and its membership was extended to states outside of Europe, the United States and Canada. During the 1960s, tensions began to show, with France seeking to limit supranational power. Nevertheless, in 1965 an agreement was reached, and on 1 July 1967 the Merger Treaty created a single set of institutions for the three communities, which were collectively referred to as the European Communities . ] ] Jean Rey presided over the first merged commission ( Rey Commission ). ] In 1973, the communities were enlarged to include Denmark (including Greenland), Ireland, and the United Kingdom . ] Norway had negotiated to join at the same time, but Norwegian voters rejected membership in a referendum . The Ostpolitik and the ensuing détente led to establishment of a first truly pan-European body, the Conference on Security and Co-operation in Europe (CSCE), predecessor of the modern Organization for Security and Co-operation in Europe (OSCE). In 1979, the first direct elections to the European Parliament were held. ] Greece joined in 1981. In 1985, Greenland left the Communities ,
for Security and Co-operation in Europe (OSCE). In 1979, the first direct elections to the European Parliament were held. ] Greece joined in 1981. In 1985, Greenland left the Communities , following a dispute over fishing rights. During the same year, the Schengen Agreement paved the way for the creation of open borders without passport controls between most member states and some non-member states. ] In 1986, the Single European Act was signed. Portugal and Spain joined in 1986. ] In 1990, after the fall of the Eastern Bloc , the former East Germany became part of the communities as part of a reunified Germany . ] The European Union was formally established when the Maastricht Treaty —whose main architects were Horst Köhler , ] Helmut Kohl and François Mitterrand —came into force on 1 November 1993. ] ] The treaty also gave the name European Community to the EEC, even if it was referred to as such before the treaty. With further enlargement planned to include the former communist states of Central and Eastern Europe, as well as Cyprus and Malta , the Copenhagen criteria for candidate members to join the EU were agreed upon in June 1993. The expansion of the EU introduced a new level of complexity and discord. ] In 1995, Austria, Finland, and Sweden joined the EU. In 2002, euro banknotes and coins replaced national currencies in 12 of the member states. Since then, the eurozone has increased to encompass 20 countries. The euro currency became the second-largest reserve currency in the world. In 2004, the EU saw its biggest enlargement to date when Cyprus, the Czech Republic, Estonia , Hungary , Latvia , Lithuania , Malta , Poland , Slovakia , and Slovenia joined the union. ] In 2007, Bulgaria and Romania became EU members. Later that year, Slovenia adopted the euro, ] followed by Cyprus and Malta in 2008, Slovakia in 2009, Estonia in 2011, Latvia in 2014, and Lithuania in 2015. On 1 December 2009, the Lisbon Treaty entered into force and reformed many aspects of the EU. In particular, it changed the legal structure of the European Union, merging the EU three pillars system into a single legal entity provisioned with a legal personality , created a permanent president of the European Council , the first of which was Herman Van Rompuy , and strengthened the position of the high representative of the union for foreign affairs and security policy . ] ] In 2012, the EU received the Nobel Peace Prize for having "contributed to the advancement of peace and reconciliation, democracy, and human rights in Europe". ] ] In 2013, Croatia became the 28th EU member. ] From the beginning of the 2010s, the cohesion of the European Union has been tested by several issues, including a debt crisis in some of the Eurozone countries , a surge in asylum seekers in 2015 , and the United Kingdom's withdrawal from the EU . ] A referendum in the UK on its membership of the European Union was held in 2016, with 51.9 per cent of participants voting to leave. ] The UK
, and the United Kingdom's withdrawal from the EU . ] A referendum in the UK on its membership of the European Union was held in 2016, with 51.9 per cent of participants voting to leave. ] The UK formally notified the European Council of its decision to leave on 29 March 2017, initiating the formal withdrawal procedure for leaving the EU ; following extensions to the process, the UK left the European Union on 31 January 2020, though most areas of EU law continued to apply to the UK for a transition period which lasted until 31 December 2020. ] The early 2020s saw Denmark abolishing one of its three opt-outs and Croatia adopting the Euro . After the economic crisis caused by the COVID-19 pandemic , the EU leaders agreed for the first time to create common debt to finance the European Recovery Program called Next Generation EU (NGEU). ] On 24 February 2022, after massing on the borders of Ukraine, the Russian Armed Forces undertook an attempt for a full-scale invasion of Ukraine. ] ] The European Union imposed heavy sanctions on Russia and agreed on a pooled military aid package to Ukraine for lethal weapons funded via the European Peace Facility off-budget instrument. ] Next Generation EU ( NGEU ) is a European Commission economic recovery package to support the EU member states to recover from the COVID-19 pandemic , in particular those that have been particularly hard hit. It is sometimes styled NextGenerationEU and Next Gen EU , and also called the European Union Recovery Instrument . ] Agreed in principle by the European Council on 21 July 2020 and adopted on 14 December 2020, the instrument is worth € 750 billion . NGEU will operate from 2021 to 2026, ] and will be tied to the regular 2021–2027 budget of the EU's Multiannual Financial Framework (MFF). The comprehensive NGEU and MFF packages are projected to reach €1824.3 billion. ] Preparing the Union for a new great enlargement is a political priority for the Union, with the goal of achieving over 35 member states by 2030. Institutional and budgetary reforms are being discussed in order to the Union to be ready for the new members. ] ] ] ] In May 2024, concerns rise, that the outcome of the elections in June, can undermine some of the crucial policies of the EU in the domain of environment, diplomacy, economy . The war in Ukraine by creating inflation, lowering life level created a possibility of strong changes in the 2024 elections. ] ] Since the end of World War II , sovereign European countries have entered into treaties and thereby co-operated and harmonised policies (or pooled sovereignty ) in an increasing number of areas, in the European integration project or the construction of Europe ( French : la construction européenne ). The following timeline outlines the legal inception of the European Union (EU)—the principal framework for this unification. The EU inherited many of its present responsibilities from the European Communities (EC), which were founded in the 1950s in the spirit
Union (EU)—the principal framework for this unification. The EU inherited many of its present responsibilities from the European Communities (EC), which were founded in the 1950s in the spirit of the Schuman Declaration . The European Union operates through a hybrid system of supranational and intergovernmental decision-making, ] ] and according to the principle of conferral (which says that it should act only within the limits of the competences conferred on it by the treaties ) and of subsidiarity (which says that it should act only where an objective cannot be sufficiently achieved by the member states acting alone). Laws made by the EU institutions are passed in a variety of forms. ] Generally speaking, they can be classified into two groups: those which come into force without the necessity for national implementation measures (regulations) and those which specifically require national implementation measures (directives). ] EU policy is in general promulgated by EU directives , which are then implemented in the domestic legislation of its member states , and EU regulations , which are immediately enforceable in all member states. Lobbying at the EU level by special interest groups is regulated to try to balance the aspirations of private initiatives with public interest decision-making process. ] The European Union had an agreed budget of €170.6 billion in 2022. The EU had a long-term budget of €1,082.5 billion for the period 2014–2020, representing 1.02% of the EU-28's GNI. In 1960, the budget of the European Community was 0.03 per cent of GDP. ] Of this, €54bn subsidised agriculture enterprise , €42bn was spent on transport , building and the environment, €16bn on education and research , €13bn on welfare, €20bn on foreign and defence policy, €2bn in finance , €2bn in energy , €1.5bn in communications, and €13bn in administration. In November 2020, two members of the union, Hungary and Poland, blocked approval to the EU's budget at a meeting in the Committee of Permanent Representatives (Coreper), citing a proposal that linked funding with adherence to the rule of law . The budget included a COVID-19 recovery fund of €750 billion. The budget may still be approved if Hungary and Poland withdraw their vetoes after further negotiations in the council and the European Council . ] ] needs update ] Bodies combatting fraud have also been established, including the European Anti-fraud Office and the European Public Prosecutor's Office . The latter is a decentralized independent body of the European Union (EU), established under the Treaty of Lisbon between 22 of the 27 states of the EU following the method of enhanced cooperation . ] The European Public Prosecutor's Office investigate and prosecute fraud against the budget of the European Union and other crimes against the EU's financial interests including fraud concerning EU funds of over €10,000 and cross-border VAT fraud cases involving damages above €10 million. Member states retain in
and other crimes against the EU's financial interests including fraud concerning EU funds of over €10,000 and cross-border VAT fraud cases involving damages above €10 million. Member states retain in principle all powers except those that they have agreed collectively to delegate to the Union as a whole, though the exact delimitation has on occasions become a subject of scholarly or legal disputes. ] ] In certain fields, members have awarded exclusive competence and exclusive mandate to the Union. These are areas in which member states have entirely renounced their own capacity to enact legislation. In other areas, the EU and its member states share the competence to legislate. While both can legislate, the member states can only legislate to the extent to which the EU has not. In other policy areas, the EU can only co-ordinate, support and supplement member state action but cannot enact legislation with the aim of harmonising national laws. ] That a particular policy area falls into a certain category of competence is not necessarily indicative of what legislative procedure is used for enacting legislation within that policy area. Different legislative procedures are used within the same category of competence, and even with the same policy area. The distribution of competences in various policy areas between member states and the union is divided into the following three categories: The European Union has seven principal decision-making bodies, its institutions : the European Parliament , the European Council , the Council of the European Union , the European Commission , the Court of Justice of the European Union , the European Central Bank and the European Court of Auditors . Competence in scrutinising and amending legislation is shared between the Council of the European Union and the European Parliament, while executive tasks are performed by the European Commission and in a limited capacity by the European Council (not to be confused with the aforementioned Council of the European Union). The monetary policy of the eurozone is determined by the European Central Bank. The interpretation and the application of EU law and the treaties are ensured by the Court of Justice of the European Union. The EU budget is scrutinised by the European Court of Auditors. There are also a number of ancillary bodies which advise the EU or operate in a specific area. The Union's executive branch is organised as a directorial system , where the executive power is jointly exercised by several people. The executive branch consists of the European Council and European Commission. The European Council sets the broad political direction of the Union. It convenes at least four times a year and comprises the president of the European Council (presently Charles Michel ), the president of the European Commission and one representative per member state (either its head of state or head of government ). The high representative of the union for foreign affairs and security
president of the European Commission and one representative per member state (either its head of state or head of government ). The high representative of the union for foreign affairs and security policy (presently Josep Borrell ) also takes part in its meetings. Described by some as the union's "supreme political leadership", ] it is actively involved in the negotiation of treaty changes and defines the EU's policy agenda and strategies. Its leadership role involves solving disputes between member states and the institutions, and to resolving any political crises or disagreements over controversial issues and policies. It acts as a " collective head of state " and ratifies important documents (for example, international agreements and treaties). ] Tasks for the president of the European Council are ensuring the external representation of the EU, ] driving consensus and resolving divergences among member states, both during meetings of the European Council and over the periods between them. The European Council should not be mistaken for the Council of Europe , an international organisation independent of the EU and based in Strasbourg. The European Commission acts both as the EU's executive arm , responsible for the day-to-day running of the EU, and also the legislative initiator , with the sole power to propose laws for debate. ] ] ] The commission is 'guardian of the Treaties' and is responsible for their efficient operation and policing. ] It has 27 European commissioners for different areas of policy, one from each member state, though commissioners are bound to represent the interests of the EU as a whole rather than their home state. The leader of the 27 is the president of the European Commission (presently Ursula von der Leyen for 2019–2024), proposed by the European Council , following and taking into account the result of the European elections, and is then elected by the European Parliament. ] The President retains, as the leader responsible for the entire cabinet, the final say in accepting or rejecting a candidate submitted for a given portfolio by a member state, and oversees the commission's permanent civil service. After the President, the most prominent commissioner is the high representative of the union for foreign affairs and security policy, who is ex-officio a vice-president of the European Commission and is also chosen by the European Council. ] The other 25 commissioners are subsequently appointed by the Council of the European Union in agreement with the nominated president. The 27 commissioners as a single
– in Europe (light green & dark grey) – in the European Union (light green) Germany , ] officially the Federal Republic of Germany , ] is a country in Central Europe . It lies between the Baltic and North Sea to the north and the Alps to the south. Its sixteen constituent states have a total population of over 82 million in an area of 357,569 km 2 (138,058 sq mi), making it the most populous member state of the European Union . It borders Denmark to the north, Poland and Czechia to the east, Austria and Switzerland to the south, and France , Luxembourg , Belgium , and the Netherlands to the west. The nation's capital and most populous city is Berlin and its main financial centre is Frankfurt ; the largest urban area is the Ruhr . Settlement in what is now Germany began in the Lower Paleolithic , with various tribes inhabiting it from the Neolithic onward, chiefly the Celts . Various Germanic tribes have inhabited the northern parts of modern Germany since classical antiquity . A region named Germania was documented before AD 100. In 962, the Kingdom of Germany formed the bulk of the Holy Roman Empire . During the 16th century, northern German regions became the centre of the Protestant Reformation . Following the Napoleonic Wars and the dissolution of the Holy Roman Empire in 1806, the German Confederation was formed in 1815. Formal unification of Germany into the modern nation-state commenced on 18 August 1866 with the North German Confederation Treaty establishing the Prussia -led North German Confederation later transformed in 1871 into the German Empire . After World War I and the German Revolution of 1918–1919 , the Empire was in turn transformed into the Weimar Republic . The Nazi rise to power in 1933 led to the establishment of a totalitarian dictatorship , World War II , and the Holocaust . After the end of World War II in Europe and a period of Allied occupation , in 1949, Germany as a whole was organized into two separate polities with limited sovereignty: the Federal Republic of Germany, generally known as West Germany , and the German Democratic Republic, known as East Germany , while Berlin continued its de jure Four Power status . The Federal Republic of Germany was a founding member of the European Economic Community and the European Union , while the German Democratic Republic was a communist Eastern Bloc state and member of the Warsaw Pact . After the fall of the communist led-government in East Germany, German reunification saw the former East German states join the Federal Republic of Germany on 3 October 1990 . Germany has been described as a great power with a strong economy ; it has the largest economy in Europe . As a global power in industrial, scientific and technological sectors, it is both the world's third-largest exporter and importer . As a developed country , it offers social security , a universal health care system , and tuition-free university education . Germany is a member of the United Nations , Council of
and importer . As a developed country , it offers social security , a universal health care system , and tuition-free university education . Germany is a member of the United Nations , Council of Europe , NATO and OECD , and a founding member of the European Union, G7 and G20 . It has the third-greatest number of UNESCO World Heritage Sites ( 54 ), with the second-most cultural sites (51). The English word Germany derives from the Latin Germania , which came into use after Julius Caesar adopted it for the peoples east of the Rhine . ] The German term Deutschland , originally diutisciu land ('the German lands'), is derived from deutsch ( cf. Dutch ), descended from Old High German diutisc 'of the people' (from diot or diota 'people'), originally used to distinguish the language of the common people from Latin and its Romance descendants . This in turn descends from Proto-Germanic * þiudiskaz 'of the people' (see also the Latinised form Theodiscus ), derived from * þeudō , descended from Proto-Indo-European * tewtéh₂- 'people', from which the word Teutons also originates. ] Pre-human ancestors, the Danuvius guggenmosi , who were present in Germany over 11 million years ago, are theorized to be among the earliest ones to walk on two legs. ] Ancient humans were present in Germany at least 600,000 years ago. ] The first non-modern human fossil (the Neanderthal ) was discovered in the Neander Valley . ] Similarly dated evidence of modern humans has been found in the Swabian Jura , including 42,000-year-old flutes which are the oldest musical instruments ever found, ] the 40,000-year-old Lion Man , ] and the 41,000-year-old Venus of Hohle Fels . ] ] The Nebra sky disk , created during the European Bronze Age , has been attributed to a German site. ] The Germanic peoples are thought to date from the Nordic Bronze Age , early Iron Age , or the Jastorf culture . ] ] From southern Scandinavia and northern Germany , they expanded south, east, and west, coming into contact with the Celtic , Iranian , Baltic , and Slavic tribes. ] Under Augustus , the Roman Empire began to invade lands inhabited by the Germanic tribes, creating a short-lived Roman province of Germania between the Rhine and Elbe rivers. In 9 AD, three Roman legions were defeated by Arminius in the Battle of the Teutoburg Forest . ] The outcome of this battle dissuaded the Romans from their ambition of conquering Germania , and is thus considered one of the most important events in European history . ] By 100 AD, when Tacitus wrote Germania , Germanic tribes had settled along the Rhine and the Danube (the Limes Germanicus ), occupying most of modern Germany. However, Baden-Württemberg , southern Bavaria , southern Hesse and the western Rhineland had been incorporated into Roman provinces . ] ] ] Around 260, Germanic peoples broke into Roman-controlled lands. ] After the invasion of the Huns in 375, and with the decline of Rome from 395, Germanic tribes moved farther southwest: the Franks
] ] Around 260, Germanic peoples broke into Roman-controlled lands. ] After the invasion of the Huns in 375, and with the decline of Rome from 395, Germanic tribes moved farther southwest: the Franks established the Frankish Kingdom and pushed east to subjugate Saxony and Bavaria , and areas of what is today eastern Germany were inhabited by Western Slavic tribes. ] Charlemagne founded the Carolingian Empire in 800; it was divided in 843 . ] The eastern successor kingdom of East Francia stretched from the Rhine in the west to the Elbe river in the east and from the North Sea to the Alps. ] Subsequently, the Holy Roman Empire emerged from it. The Ottonian rulers (919–1024) consolidated several major duchies . ] In 996, Gregory V became the first German Pope, appointed by his cousin Otto III , whom he shortly after crowned Holy Roman Emperor. The Holy Roman Empire absorbed northern Italy and Burgundy under the Salian emperors (1024–1125), although the emperors lost power through the Investiture controversy . ] Under the Hohenstaufen emperors (1138–1254), German princes encouraged German settlement to the south and east ( Ostsiedlung ). ] Members of the Hanseatic League , mostly north German towns, prospered in the expansion of trade. ] The population declined starting with the Great Famine in 1315, followed by the Black Death of 1348–1350. ] The Golden Bull issued in 1356 provided the constitutional structure of the Empire and codified the election of the emperor by seven prince-electors . ] Johannes Gutenberg introduced moveable-type printing to Europe, laying the basis for the democratization of knowledge . ] In 1517, Martin Luther incited the Protestant Reformation and his translation of the Bible began the standardization of the language; the 1555 Peace of Augsburg tolerated the "Evangelical" faith ( Lutheranism ), but also decreed that the faith of the prince was to be the faith of his subjects ( cuius regio, eius religio ). ] From the Cologne War through the Thirty Years' Wars (1618–1648), religious conflict devastated German lands and significantly reduced the population. ] ] The Peace of Westphalia ended religious warfare among the Imperial Estates ; ] their mostly German-speaking rulers were able to choose Catholicism , Lutheranism, or Calvinism as their official religion. ] The legal system initiated by a series of Imperial Reforms (approximately 1495–1555) provided for considerable local autonomy and a stronger Imperial Diet . ] The House of Habsburg held the imperial crown from 1438 until the death of Charles VI in 1740. Following the War of the Austrian Succession and the Treaty of Aix-la-Chapelle , Charles VI's daughter Maria Theresa ruled as empress consort when her husband, Francis I , became emperor. ] ] From 1740, dualism between the Austrian Habsburg monarchy and the Kingdom of Prussia dominated German history. In 1772, 1793, and 1795, Prussia and Austria, along with the Russian Empire , agreed to the Partitions of Poland . ] ]
Austrian Habsburg monarchy and the Kingdom of Prussia dominated German history. In 1772, 1793, and 1795, Prussia and Austria, along with the Russian Empire , agreed to the Partitions of Poland . ] ] During the period of the French Revolutionary Wars , the Napoleonic era and the subsequent final meeting of the Imperial Diet , most of the Free Imperial Cities were annexed by dynastic territories; the ecclesiastical territories were secularised and annexed. In 1806 the Imperium was dissolved; France, Russia, Prussia, and the Habsburgs (Austria) competed for hegemony in the German states during the Napoleonic Wars . ] Following the fall of Napoleon , the Congress of Vienna founded the German Confederation, a loose league of 39 sovereign states . The appointment of the emperor of Austria as the permanent president reflected the Congress's rejection of Prussia 's rising influence. Disagreement within restoration politics partly led to the rise of liberal movements, followed by new measures of repression by Austrian statesman Klemens von Metternich . ] ] The Zollverein , a tariff union, furthered economic unity. ] In light of revolutionary movements in Europe , intellectuals and commoners started the revolutions of 1848 in the German states , raising the German question. King Frederick William IV of Prussia was offered the title of emperor, but with a loss of power; he rejected the crown and the proposed constitution, a temporary setback for the movement. ] King William I appointed Otto von Bismarck as the Minister President of Prussia in 1862. Bismarck successfully concluded the war with Denmark in 1864 ; the subsequent decisive Prussian victory in the Austro-Prussian War of 1866 enabled him to create the North German Confederation which excluded Austria . After the defeat of France in the Franco-Prussian War , the German princes proclaimed the founding of the German Empire in 1871. Prussia was the dominant constituent state of the new empire; the King of Prussia ruled as its Kaiser, and Berlin became its capital. ] ] In the Gründerzeit period following the unification of Germany, Bismarck's foreign policy as chancellor of Germany secured Germany's position as a great nation by forging alliances and avoiding war. ] However, under Wilhelm II , Germany took an imperialistic course, leading to friction with neighbouring countries. ] A dual alliance was created with the multinational realm of Austria-Hungary ; the Triple Alliance of 1882 included Italy. Britain, France and Russia also concluded alliances to protect against Habsburg interference with Russian interests in the Balkans or German interference against France. ] At the Berlin Conference in 1884, Germany claimed several colonies including German East Africa , German South West Africa , Togoland , and Kamerun . ] Later, Germany further expanded its colonial empire to include holdings in the Pacific and China. ] The colonial government in South West Africa (present-day Namibia ), from 1904 to 1907,
Kamerun . ] Later, Germany further expanded its colonial empire to include holdings in the Pacific and China. ] The colonial government in South West Africa (present-day Namibia ), from 1904 to 1907, carried out the annihilation of the local Herero and Namaqua peoples as punishment for an uprising; ] ] this was the 20th century's first genocide . ] The assassination of Austria's crown prince on 28 June 1914 provided the pretext for Austria-Hungary to attack Serbia and trigger World War I . After four years of warfare, in which approximately two million German soldiers were killed, ] a general armistice ended the fighting. In the German Revolution (November 1918), Wilhelm II and the ruling princes abdicated their positions, and Germany was declared a federal republic . Germany's new leadership signed the Treaty of Versailles in 1919, accepting defeat by the Allies . Germans perceived the treaty as humiliating, which was seen by historians as influential in the rise of Adolf Hitler . ] Germany lost around 13% of its European territory and ceded all of its colonial possessions in Africa and the Pacific. ] On 11 August 1919, President Friedrich Ebert signed the democratic Weimar Constitution . ] In the subsequent struggle for power, communists seized power in Bavaria , but conservative elements elsewhere attempted to overthrow the Republic in the Kapp Putsch . Street fighting in the major industrial centres, the occupation of the Ruhr by Belgian and French troops, and a period of hyperinflation followed. A debt restructuring plan and the creation of a new currency in 1924 ushered in the Golden Twenties , an era of artistic innovation and liberal cultural life. ] ] ] The worldwide Great Depression hit Germany in 1929. Chancellor Heinrich Brüning 's government pursued a policy of fiscal austerity and deflation which caused unemployment of nearly 30% by 1932. ] The Nazi Party led by Adolf Hitler became the largest party in the Reichstag after a special election in 1932 and Hindenburg appointed Hitler as chancellor of Germany on 30 January 1933. ] After the Reichstag fire , a decree abrogated basic civil rights and the first Nazi concentration camp opened. ] ] On 23 March 1933, the Enabling Act gave Hitler unrestricted legislative power, overriding the constitution, ] and marked the beginning of Nazi Germany. His government established a centralised totalitarian state , withdrew from the League of Nations , and dramatically increased the country's rearmament . ] A government-sponsored programme for economic renewal focused on public works, the most famous of which was the Autobahn . ] In 1935, the regime withdrew from the Treaty of Versailles and introduced the Nuremberg Laws which targeted Jews and other minorities. ] Germany also reacquired control of the Saarland in 1935, ] remilitarised the Rhineland in 1936, annexed Austria in 1938, annexed the Sudetenland in 1938 with the Munich Agreement , and in violation of the agreement occupied Czechoslovakia
Saarland in 1935, ] remilitarised the Rhineland in 1936, annexed Austria in 1938, annexed the Sudetenland in 1938 with the Munich Agreement , and in violation of the agreement occupied Czechoslovakia in March 1939. ] Kristallnacht (Night of Broken Glass) saw the burning of synagogues, the destruction of Jewish businesses, and mass arrests of Jewish people. ] In August 1939, Hitler's government negotiated the Molotov–Ribbentrop Pact that divided Eastern Europe into German and Soviet spheres of influence. ] On 1 September 1939, Germany invaded Poland , beginning World War II in Europe ; ] Britain and France declared war on Germany on 3 September. ] In the spring of 1940, Germany conquered Denmark and Norway , the Netherlands , Belgium , Luxembourg , and France , forcing the French government to sign an armistice . The British repelled German air attacks in the Battle of Britain in the same year. In 1941, German troops invaded Yugoslavia , Greece and the Soviet Union . By 1942, Germany and its allies controlled most of continental Europe and North Africa , but following the Soviet victory at the Battle of Stalingrad , the Allied reconquest of North Africa and invasion of Italy in 1943, German forces suffered repeated military defeats. In 1944, the Soviets pushed into Eastern Europe ; the Western allies landed in France and entered Germany despite a final German counteroffensive . Following Hitler's suicide during the Battle of Berlin , Germany signed the surrender document on 8 May 1945, ending World War II in Europe ] ] and Nazi Germany. Following the end of the war, surviving Nazi officials were tried for war crimes at the Nuremberg trials . ] ] In what later became known as the Holocaust , the German government persecuted minorities , including interning them in concentration and death camps across Europe. The regime systematically murdered 6 million Jews, at least 130,000 Romani , 275,000 disabled , thousands of Jehovah's Witnesses , thousands of homosexuals , and hundreds of thousands of political and religious opponents . ] Nazi policies in German-occupied countries resulted in the deaths of an estimated 2.7 million Poles , ] 1.3 million Ukrainians , 1 million Belarusians and 3.5 million Soviet prisoners of war . ] ] German military casualties have been estimated at 5.3 million, ] and around 900,000 German civilians died. ] Around 12 million ethnic Germans were expelled from across Eastern Europe, and Germany lost roughly one-quarter of its pre-war territory. ] After Nazi Germany surrendered, the Allies de jure abolished the German state and partitioned Berlin and Germany's remaining territory into four occupation zones. The western sectors, controlled by France, the United Kingdom , and the United States , were merged on 23 May 1949 to form the Federal Republic of Germany ( .mw-parser-output .tfd-dated{font-size:85%}.mw-parser-output .tfd-default{border-bottom:1px solid
, and the United States , were merged on 23 May 1949 to form the Federal Republic of Germany ( .mw-parser-output .tfd-dated{font-size:85%}.mw-parser-output .tfd-default{border-bottom:1px solid var(--border-color-base,#a2a9b1);clear:both;text-align:center}.mw-parser-output .tfd-tiny{font-weight:bold}.mw-parser-output .tfd-inline{border:1px solid var(--border-color-base,#a2a9b1)}.mw-parser-output .tfd-sidebar{border-bottom:1px solid var(--border-color-base,#a2a9b1);text-align:center;position:relative}@media(min-width:640px){.mw-parser-output .tfd-sidebar{clear:right;float:right;width:22em}} ‹See Tfd› German : Bundesrepublik Deutschland ); on 7 October 1949, the Soviet Zone became the German Democratic Republic (GDR) ( ‹See Tfd› German : Deutsche Demokratische Republik ; DDR). They were informally known as West Germany and East Germany. ] East Germany selected East Berlin as its capital, while West Germany chose Bonn as a provisional capital, to emphasise its stance that the two-state solution was temporary. ] West Germany was established as a federal parliamentary republic with a " social market economy ". Starting in 1948 West Germany became a major recipient of reconstruction aid under the American Marshall Plan . ] Konrad Adenauer was elected the first federal chancellor of Germany in 1949. The country enjoyed prolonged economic growth ( Wirtschaftswunder ) beginning in the early 1950s. ] West Germany joined NATO in 1955 and was a founding member of the European Economic Community . ] On 1 January 1957, the Saarland joined West Germany. ] East Germany was an Eastern Bloc state under political and military control by the Soviet Union via occupation forces and the Warsaw Pact . Although East Germany claimed to be a democracy, political power was exercised solely by leading members ( Politbüro ) of the communist-controlled Socialist Unity Party of Germany , supported by the Stasi , an immense secret service. ] While East German propaganda was based on the benefits of the GDR's social programmes and the alleged threat of a West German invasion, many of its citizens looked to the West for freedom and prosperity. ] The Berlin Wall , built in 1961, prevented East German citizens from escaping to West Germany, becoming a symbol of the Cold War . ] Tensions between East and West Germany were reduced in the late 1960s by Chancellor Willy Brandt 's Ostpolitik . ] In 1989, Hungary decided to dismantle the Iron Curtain and open its border with Austria , causing the emigration of thousands of East Germans to West Germany via Hungary and Austria. This had devastating effects on the GDR, where regular mass demonstrations received increasing support. In an effort to help retain East Germany as a state, the East German authorities eased border restrictions, but this actually led to an acceleration of the Wende reform process culminating in the Two Plus Four Treaty under which Germany regained full sovereignty. This permitted German reunification on 3 October
actually led to an acceleration of the Wende reform process culminating in the Two Plus Four Treaty under which Germany regained full sovereignty. This permitted German reunification on 3 October 1990, with the accession of the five re-established states of the former GDR. ] The fall of the Wall in 1989 became a symbol of the Fall of Communism , the dissolution of the Soviet Union , German reunification and Die Wende ("the turning point"). ] United Germany was considered the enlarged continuation of West Germany so it retained its memberships in international organisations. ] Based on the Berlin/Bonn Act (1994), Berlin again became the capital of Germany, while Bonn obtained the unique status of a Bundesstadt (federal city) retaining some federal ministries. ] The relocation of the government was completed in 1999, and modernisation of the East German economy was scheduled to last until 2019. ] ] Since reunification, Germany has taken a more active role in the European Union , signing the Maastricht Treaty in 1992 and the Lisbon Treaty in 2007, ] and co-founding the eurozone . ] Germany sent a peacekeeping force to secure stability in the Balkans and sent German troops to Afghanistan as part of a NATO effort to provide security in that country after the ousting of the Taliban . ] ] In the 2005 elections , Angela Merkel became the first female chancellor. In 2009, the German government approved a €50 billion stimulus plan. ] Among the major German political projects of the early 21st century are the advancement of European integration , the energy transition ( Energiewende ) for a sustainable energy supply, the debt brake for balanced budgets, measures to increase the fertility rate ( pronatalism ), and high-tech strategies for the transition of the German economy, summarised as Industry 4.0 . ] During the 2015 European migrant crisis , the country took in over a million refugees and migrants. ] Germany is the seventh-largest country in Europe . ] It borders Denmark to the north, Poland and Czechia to the east, Austria and Switzerland to the south, and France , Luxembourg , Belgium , and the Netherlands to the west. Germany is also bordered by the North Sea and, at the north-northeast, by the Baltic Sea. German territory covers 357,600 km 2 (138,070 sq mi), consisting of 349,250 km 2 (134,846 sq mi) of land and 8,350 km 2 (3,224 sq mi) of water. Elevation ranges from the mountains of the Alps (highest point: the Zugspitze at 2,963 metres or 9,721 feet) in the south to the shores of the North Sea ( Nordsee ) in the northwest and the Baltic Sea ( Ostsee ) in the northeast. The forested uplands of central Germany and the lowlands of northern Germany (lowest point: in the municipality Neuendorf-Sachsenbande , Wilstermarsch at 3.54 metres or 11.6 feet below sea level ] ) are traversed by such major rivers as the Rhine, Danube and Elbe. Significant natural resources include iron ore, coal, potash , timber, lignite , uranium , copper, natural gas, salt,
sea level ] ) are traversed by such major rivers as the Rhine, Danube and Elbe. Significant natural resources include iron ore, coal, potash , timber, lignite , uranium , copper, natural gas, salt, and nickel. ] Most of Germany has a temperate climate, ranging from oceanic in the north and west to continental in the east and southeast. Winters range from the cold in the Southern Alps to cool and are generally overcast with limited precipitation, while summers can vary from hot and dry to cool and rainy. The northern regions have prevailing westerly winds that bring in moist air from the North Sea, moderating the temperature and increasing precipitation. Conversely, the southeast regions have more extreme temperatures. ] From February 2019 – 2020, average monthly temperatures in Germany ranged from a low of 3.3 °C (37.9 °F) in January 2020 to a high of 19.8 °C (67.6 °F) in June 2019. ] Average monthly precipitation ranged from 30 litres per square metre in February and April 2019 to 125 litres per square metre in February 2020. ] Average monthly hours of sunshine ranged from 45 in November 2019 to 300 in June 2019. ] The territory of Germany can be divided into five terrestrial ecoregions : Atlantic mixed forests , Baltic mixed forests , Central European mixed forests , Western European broadleaf forests , and Alps conifer and mixed forests . ] As of 2016 ] , 51% of Germany's land area is devoted to agriculture, while 30% is forested and 14% is covered by settlements or infrastructure. ] Plants and animals include those generally common to Central Europe. According to the National Forest Inventory, beeches , oaks , and other [deci
– in Europe (green & dark grey) – in the European Union (green) – Legend ] Hungary ] is a landlocked country in Central Europe . ] Spanning 93,030 square kilometres (35,920 sq mi) of the Carpathian Basin , it is bordered by Slovakia to the north, Ukraine to the northeast, Romania to the east and southeast, Serbia to the south, Croatia and Slovenia to the southwest, and Austria to the west. Hungary has a population of 9.5 million, mostly ethnic Hungarians and a significant Romani minority . Hungarian , a language belonging to the Ugric branch of the Uralic language family, is the official language , and Budapest is the country's capital and largest city . Prior to the foundation of the Hungarian state, various peoples settled in the territory of present-day Hungary, most notably the Celts , Romans , Huns , Germanic peoples , Avars and Slavs . The Principality of Hungary was established in the late 9th century by Álmos and his son Árpád through the conquest of the Carpathian Basin . ] ] King Stephen I ascended the throne in 1000, converting his realm to a Christian kingdom . The medieval Kingdom of Hungary was a European power, reaching its height in the 14th–15th centuries . ] After a long period of Ottoman wars , Hungary's forces were defeated at the Battle of Mohács and its capital was captured in 1541, opening roughly a 150 years long period when the country was divided into three parts: Royal Hungary , loyal to the Habsburgs ; Ottoman Hungary ; and the largely independent Principality of Transylvania . The reunited Hungary came under Habsburg rule at the turn of the 18th century, fighting a war of independence in 1703–1711, and a war of independence in 1848–1849 until a compromise allowed the formation of the Austro-Hungarian Monarchy in 1867, a major power into the early 20th century. ] Austria-Hungary collapsed after World War I , and the subsequent Treaty of Trianon in 1920 established Hungary's current borders, resulting in the loss of 71% of its historical territory, 58% of its population, and 32% of its ethnic Hungarians . ] ] ] In the interwar period , after initial turmoil, Miklós Horthy ascended as a determining politician, representing the monarchy as regent in place of the Habsburgs. Hungary joined the Axis powers in World War II , suffering significant damage and casualties. ] ] As a result, the Hungarian People's Republic was established as a satellite state of the Soviet Union . Following the failed 1956 revolution , Hungary became comparatively freer , but still remained a repressed member of the Eastern Bloc . In 1989, concurrently with the Revolutions of 1989 , Hungary peacefully transitioned into a democratic parliamentary republic , ] joining the European Union in 2004 and being part of the Schengen Area since 2007. Hungary is a high-income economy with universal health care and tuition-free secondary education . ] ] Hungary has a long history of significant contributions to arts , music , literature , sports , science and
a high-income economy with universal health care and tuition-free secondary education . ] ] Hungary has a long history of significant contributions to arts , music , literature , sports , science and technology . ] ] ] ] It is a popular tourist destination in Europe, drawing 24.5 million international tourists in 2019. ] It is a member of numerous international organisations, including the Council of Europe , European Union , NATO , United Nations , World Health Organization , World Trade Organization , World Bank , Asian Infrastructure Investment Bank , and the Visegrád Group . ] The "H" in the name of Hungary is most likely derived from historical associations with the Huns , who had settled Hungary prior to the Avars . citation needed ] The rest of the word comes from the Latinised form of Byzantine Greek Oungroi ( Οὔγγροι ). The Greek name might be borrowed from Old Slavonic ągrinŭ , in turn borrowed from Oghur-Turkic Onogur ('ten Ogurs'). ] Onogur was the collective name for the tribes who later joined the Bulgar tribal confederacy that ruled the eastern parts of Hungary after the Avars. ] ] Peter B. Golden also considers the suggestion of Árpád Berta that the name derives from Khazar Turkic ongar (oŋ "right", oŋar- "to make something better, to put (it) right", oŋgar- "to make something better, to put (it) right", oŋaru "towards the right") "right wing". This points to the idea that the Magyar Union before the Conquest formed the "right wing" (= western wing) of the Khazar military forces. ] The Hungarian endonym is Magyarország , composed of magyar ('Hungarian') and ország ('country'). The name "Magyar", which refers to the people of the country, more accurately reflects the name of the country in some other languages such as Turkish , Persian and other languages as Magyaristan or Land of Magyars or similar. The word magyar is taken from the name of one of the seven major semi-nomadic Hungarian tribes, magyeri . ] ] ] The first element magy is likely from Proto-Ugric * mäńć- 'man, person', also found in the name of the Mansi people ( mäńćī, mańśi, måńś ). The second element eri , 'man, men, lineage', survives in Hungarian férj 'husband', and is cognate with Mari erge 'son', Finnish archaic yrkä 'young man'. ] The Roman Empire conquered the territory between the Alps and the area west of the Danube River from 16 to 15 BC, the Danube being the frontier of the empire. ] In 14 BC, Pannonia , the western part of the Carpathian Basin , which includes today's west of Hungary, was recognised by emperor Augustus in the Res Gestae Divi Augusti as part of the Roman Empire. ] The area south-east of Pannonia was organised as the Roman province Moesia in 6 BC. ] An area east of the river Tisza became the Roman province of Dacia in 106 AD, which included today's east Hungary. It remained under Roman rule until 271. ] From 235, the Roman Empire went through troubled times, caused by revolts, rivalry and rapid succession of emperors. The Western Roman
today's east Hungary. It remained under Roman rule until 271. ] From 235, the Roman Empire went through troubled times, caused by revolts, rivalry and rapid succession of emperors. The Western Roman Empire collapsed in the 5th century under the stress of the migration of Germanic tribes and Carpian pressure. ] This period brought many invaders into Central Europe, beginning with the Hunnic Empire ( c. 370 –469). The most powerful ruler of the Hunnic Empire was Attila the Hun (434–453), who later became a central figure in Hungarian mythology. ] After the disintegration of the Hunnic Empire, the Gepids , an Eastern Germanic tribe, who had been vassalised by the Huns, established their own kingdom in the Carpathian Basin. ] Other groups which reached the Carpathian Basin during the Migration Period were the Goths , Vandals , Lombards , and Slavs . ] In the 560s, the Avars founded the Avar Khaganate, a state that maintained supremacy in the region for more than two centuries. The Franks under Charlemagne defeated the Avars in a series of campaigns during the 790s. ] Between 804 and 829, the First Bulgarian Empire conquered the lands east of the Danube and took over the rule of the local Slavic tribes and remnants of the Avars. ] By the mid-9th century, the Balaton Principality , also known as Lower Pannonia, was established west of the Danube as part of the Frankish March of Pannonia . ] Foundation of the Hungarian state is connected to the Hungarian conquerors , who arrived from the Pontic-Caspian steppe as a confederation of seven tribes . According to the Finno-Ugrian theory , they originated from an ancient Uralic -speaking population that formerly inhabited the forested area between the Volga River and the Ural Mountains . ] However, genetic and linguistic evidence suggests that the Hungarians’ origins lie east of the Southern Urals , in Western Siberia . ] ] ] ] The Hungarians arrived in the Carpathian Basin as a frame of a strong centralized steppe-empire under the leadership of Grand Prince Álmos and his son Árpád : founders of the Árpád dynasty , the Hungarian ruling dynasty and the Hungarian state. The Árpád dynasty claimed to be a direct descendant of Attila the Hun. ] ] ] The Hungarians took possession of the area in a pre-planned manner, with a long move-in between 862 and 895. ] The rising Principality of Hungary ("Western Tourkia" in medieval Greek sources) ] conducted successful fierce campaigns and raids , from Constantinople to as far as today's Spain. ] The Hungarians defeated three major East Frankish imperial armies between 907 and 910. ] A defeat at the Battle of Lechfeld in 955 signaled a provisory end to most campaigns on foreign territories, at least towards the west. In 972, the ruling prince ( Hungarian : fejedelem ) Géza of the Árpád dynasty officially started to integrate Hungary into Christian Western Europe. ] His son Saint Stephen I became the first King of Hungary after defeating his pagan uncle Koppány . Under
of the Árpád dynasty officially started to integrate Hungary into Christian Western Europe. ] His son Saint Stephen I became the first King of Hungary after defeating his pagan uncle Koppány . Under Stephen, Hungary was recognised as a Catholic Apostolic Kingdom . ] Applying to Pope Sylvester II , Stephen received the insignia of royalty (including probably a part of the Holy Crown of Hungary ) from the papacy. By 1006, Stephen consolidated his power and started sweeping reforms to convert Hungary into a Western feudal state . The country switched to using Latin for administration purposes, and until as late as 1844, Latin remained the official language of administration. King Saint Ladislaus completed the work of King Saint Stephen , consolidating the Hungarian state's power and strengthening Christianity . His charismatic personality, strategic leadership and military talents resulted in the termination of internal power struggles and foreign military threats. ] The wife of the Croatian king Demetrius Zvonimir was Ladislaus's sister. ] At Helen's request, Ladislaus intervened in the conflict and invaded Croatia in 1091. ] The Kingdom of Croatia entered a personal union with the Kingdom of Hungary in 1102 with the coronation of King Coloman as "King of Croatia and Dalmatia" in 1102 in Biograd . ] The most powerful and wealthiest king of the Árpád dynasty was Béla III , who disposed of the equivalent of 23 tonnes of silver per year, according to a contemporary income register . This exceeded the income of the French king (estimated at 17 tonnes) and was double the receipts of the English Crown. ] Andrew II issued the Diploma Andreanum which secured the special privileges of the Transylvanian Saxons and is considered the first autonomy law in the world. ] He led the Fifth Crusade to the Holy Land in 1217, setting up the largest royal army in the history of Crusades. His Golden Bull of 1222 was the first constitution in Continental Europe . The lesser nobles also began to present Andrew with grievances, a practice that evolved into the institution of the parliament ( parlamentum publicum ). In 1241–1242, the kingdom received a major blow with the Mongol (Tatar) invasion . Up to half of Hungary's population of 2 million were victims of the invasion. ] King Béla IV let Cumans and Jassic people into the country, who were fleeing the Mongols. ] Over the centuries, they were fully assimilated. ] After the Mongols retreated, King Béla ordered the construction of hundreds of stone castles and fortifications, to defend against a possible second Mongol invasion. The Mongols returned to Hungary in 1285, but the newly built stone-castle systems and new tactics (using a higher proportion of heavily armed knights) stopped them. The invading Mongol force was defeated ] near Pest by the royal army of King Ladislaus IV . As with later invasions, it was repelled handily, the Mongols losing much of their invading force. The Kingdom of Hungary reached one of its
] near Pest by the royal army of King Ladislaus IV . As with later invasions, it was repelled handily, the Mongols losing much of their invading force. The Kingdom of Hungary reached one of its greatest extents during the Árpádian kings, yet royal power was weakened at the end of their rule in 1301. After a destructive period of interregnum (1301–1308), the first Angevin king, Charles I of Hungary – a bilineal descendant of the Árpád dynasty – successfully restored royal power and defeated oligarch rivals, the so-called "little kings". The second Angevin Hungarian king, Louis the Great (1342–1382), led many successful military campaigns from Lithuania to southern Italy ( Kingdom of Naples ) and was also King of Poland from 1370. After King Louis died without a male heir, the country was stabilised only when Sigismund of Luxembourg (1387–1437) succeeded to the throne, who in 1433 also became Holy Roman Emperor . The first Hungarian Bible translation was completed in 1439. For half a year in 1437, there was an antifeudal and anticlerical peasant revolt in Transylvania which was strongly influenced by Hussite ideas. From a small noble family in Transylvania, John Hunyadi grew to become one of the country's most powerful lords, thanks to his capabilities as a mercenary commander. He was elected governor, then regent. He was a successful crusader against the Ottoman Turks , one of his greatest victories being the siege of Belgrade in 1456. The last strong king of medieval Hungary was the Renaissance king Matthias Corvinus (1458–1490), son of John Hunyadi. His election was the first time that a member of the nobility mounted to the Hungarian royal throne without dynastic background. He was a successful military leader and an enlightened patron of the arts and learning. ] His library, the Bibliotheca Corviniana , was Europe's greatest collection of historical chronicles, philosophic and scientific works in the 15th century, and second only in size to the Vatican Library . Items from the Bibliotheca Corviniana were inscribed on UNESCO 's Memory of the World Register in 2005. ] The serfs and common people considered him a just ruler because he protected them from excessive demands and other abuses by the magnates. ] Under his rule, in 1479, the Hungarian army destroyed the Ottoman and Wallachian troops at the Battle of Breadfield . Abroad he defeated the Polish and German imperial armies of Frederick at Breslau ( Wrocław ). Matthias' mercenary standing army, the Black Army of Hungary , was an unusually large army for its time, and it conquered Vienna as well as parts of Austria and Bohemia . King Matthias died without lawful sons, and the Hungarian magnates procured the accession of the Pole Vladislaus II (1490–1516), supposedly because of his weak influence on Hungarian aristocracy. ] Hungary's international role declined, its political stability was shaken, and social progress was deadlocked. ] In 1514, the weakened old King Vladislaus II faced a major
on Hungarian aristocracy. ] Hungary's international role declined, its political stability was shaken, and social progress was deadlocked. ] In 1514, the weakened old King Vladislaus II faced a major peasant rebellion led by György Dózsa , which was ruthlessly crushed by the nobles , led by John Zápolya . The resulting degradation of order paved the way for Ottoman preeminence. In 1521, the strongest Hungarian fortress in the South, Nándorfehérvár (today's Belgrade , Serbia), fell to the Turks . The early appearance of Protestantism further worsened internal relations in the country. After some 150 years of wars with the Hungarians and other states, the Ottomans gained a decisive victory over the Hungarian army at the Battle of Mohács in 1526, where King Louis II died while fleeing. Amid political chaos, the divided Hungarian nobility elected two kings simultaneously, John Zápolya and Ferdinand I of the Habsburg dynasty . With the conquest of Buda by the Turks in 1541, Hungary was divided into three parts and remained so until the end of the 17th century. The north-western part, termed as Royal Hungary , was annexed by the Habsburgs who ruled as kings of Hungary. The eastern part of the kingdom became independent as the Principality of Transylvania , under Ottoman (and later Habsburg) suzerainty . The remaining central area, including the capital Buda, was known as the Pashalik of Buda. In 1686, the Holy League's army, containing over 74,000 men from various nations, reconquered Buda from the Turks. After some more crushing defeats of the Ottomans in the next few years, the entire Kingdom of Hungary was removed from Ottoman rule by 1718. The last raid into Hungary by the Ottoman vassals Tatars from Crimea took place in 1717. ] The constrained Habsburg Counter-Reformation efforts in the 17th century reconverted the majority of the kingdom to Catholicism. The ethnic composition of Hungary was fundamentally changed as a consequence of the prolonged warfare with the Turks. A large part of the country became devastated, population growth was stunted, and many smaller settlements perished. ] The Austrian-Habsburg government settled large groups of Serbs and other Slavs in the depopulated south, and settled Germans (called Danube Swabians ) in various areas, but Hungarians were not allowed to settle or re-settle in the south of the Carpathian Basin. ] Between 1703 and 1711, there was a large-scale war of independence led by Francis II Rákóczi , who after the dethronement of the Habsburgs in 1707 at the Diet of Ónod , took power provisionally as the ruling prince for the wartime period, but refused the Hungarian crown and the title "king". The uprisings lasted for years. The Hungarian Kuruc army, although taking over most of the country, lost the main battle at Trencsén (1708). Three years later, because of the growing desertion, defeatism, and low morale, the Kuruc forces surrendered. ] During the Napoleonic Wars and afterward, the Hungarian Diet had
at Trencsén (1708). Three years later, because of the growing desertion, defeatism, and low morale, the Kuruc forces surrendered. ] During the Napoleonic Wars and afterward, the Hungarian Diet had not convened for decades. ] In the 1820s, the emperor was forced to convene the Diet, which marked the beginning of a Reform Period (1825–1848, Hungarian : reformkor ). The Hungarian Parliament was reconvened in 1825 to handle financial needs. A liberal party emerged and focused on providing for the peasantry. Lajos Kossuth emerged as a leader of the lower gentry in the Parliament. A remarkable upswing started as the nation concentrated its forces on modernisation even though the Habsburg monarchs obstructed all important liberal laws relating to civil and political rights and economic reforms. Many reformers ( Lajos Kossuth , Mihály Táncsics ) were imprisoned by the authorities. On 15 March 1848, mass demonstrations in Pest and Buda enabled Hungarian reformists to push through a list of 12 demands . Under Governor and President Lajos Kossuth and Prime Minister Lajos Batthyány , the House of Habsburg was dethroned. The Habsburg ruler and his advisors skillfully manipulated the Croatian, Serbian and Romanian peasantry, led by priests and officers firmly loyal to the Habsburgs, into rebelling against the Hungarian government, though the Hungarians were supported by the vast majority of the Slovak, German and Rusyn nationalities and by all the Jews of the kingdom, as well as by a large number of Polish, Austrian and Italian volunteers. ] In July 1849 the Hungarian Parliament proclaimed and enacted the first laws of ethnic and minority rights in the world. ] Many members of the nationalities gained the coveted highest positions within the Hungarian Army, like János Damjanich and Józef Bem . The Hungarian forces ( Honvédség ) defeated Austrian armies. To counter the successes of the Hungarian revolutionary army, Habsburg Emperor Franz Joseph I asked for help from the "Gendarme of Europe", Tsar Nicholas I , whose Russian armies invaded Hungary. This made Artúr Görgey surrender in August 1849. The leader of the Austrian army, Julius Jacob von Haynau , became governor of Hungary for a few months and ordered the execution of the 13 Martyrs of Arad , leaders of the Hungarian army, and Prime Minister Batthyány in October 1849. Kossuth escaped into exile. Following the war of 1848–1849, the whole country was in "passive resistance". Because of external and internal problems, reforms seemed inevitable, and major military defeats of Austria forced the Habsburgs to negotiate the Austro-Hungarian Compromise of 1867 , by which the dual monarchy of Austria-Hungary was formed. This empire had the second largest area in Europe (after the Russian Empire ), and it was the third most populous (after Russia and the German Empire ). The two realms were governed separately by two parliaments from two capital cities, with a common monarch and common external and military
third most populous (after Russia and the German Empire ). The two realms were governed separately by two parliaments from two capital cities, with a common monarch and common external and military policies. Economically, the empire was a customs union. The old Hungarian Constitution was restored, and Franz Joseph I was crowned as King of Hungary . The era witnessed impressive economic development. The formerly backward Hungarian economy became relatively modern and industrialised by the turn of the 20th century, although agriculture remained dominant until 1890. In 1873, the old capital Buda and Óbuda were officially united with Pest , ] creating the new metropolis of Budapest. Many of the state institutions and the modern administrative system of Hungary were established during this period. After the assassination of Archduke Franz Ferdinand in Sarajevo, Prime Minister István Tisza and his cabinet tried to avoid the outbreak and escalating of a war in Europe, but their diplomatic efforts were unsuccessful. Austria-Hungary drafted over 4 million soldiers from the Kingdom of Hungary on the side of Germany, Bulgaria, and Turkey. The troops raised in the Kingdom of Hungary spent little time defending the actual territory of Hungary, with the exceptions of the Brusilov offensive in June 1916 and a few months later when the Romanian army made an attack into Transylvania, ] self-published source? ] both of which were repelled. The Central Powers conquered Serbia. Romania declared war. The Central Powers conquered southern Romania and the Romanian capital Bucharest . In 1916 Franz Joseph died, and the new monarch Charles IV sympathised with the pacifists. With great difficulty, the Central Powers stopped and repelled the attacks of the Russian Empire. The Eastern Front of the Allied ( Entente ) Powers completely collapsed. The Austro-Hungarian Empire then withdrew from all defeated countries. Despite great success on the Eastern Front, Germany suffered complete defeat on the Western Front . By 1918, the economic situation had deteriorated (strikes in factories were organised by leftist and pacifist movements) and uprisings in the army had become common. In the capital cities, the Austrian and Hungarian leftist liberal movements and their leaders supported the separatism of ethnic minorities. Austria-Hungary signed a general armistice in Padua on 3 November 1918. ] In October 1918, Hungary's union with Austria was dissolved. Following the First World War, Hungary underwent a period of profound political upheaval, beginning with the Aster Revolution in 1918, which brought the social-democratic Mihály Károlyi to power as prime minister. The Hungarian Royal Honvéd army still had more than 1,400,000 soldiers ] ] when Károlyi was installed. Károlyi yielded to U.S. President Woodrow Wilson 's demand for pacifism by ordering the disarmament of the Hungarian army. ] ] Disarmament meant that Hungary was to remain without a national defence at a time of
to U.S. President Woodrow Wilson 's demand for pacifism by ordering the disarmament of the Hungarian army. ] ] Disarmament meant that Hungary was to remain without a national defence at a time of particular vulnerability. During the rule of Károlyi's pacifist cabinet, Hungary lost control over approximately 75% of its pre-war territories (325,411 square kilometres (125,642 sq mi)) without a fight and was subject to foreign occupation. The Little Entente , sensing an opportunity, invaded the country from three sides— Romania invaded Transylvania , Czechoslovakia annexed Upper Hungary (today's Slovakia), and a joint Serb - French coalition annexed Vojvodina and other southern regions. In March 1919, communists led by Béla Kun ousted the Károlyi government and proclaimed the Hungarian Soviet Republic ( Tanácsköztársaság ), followed by a thorough Red Terror campaign. Despite some successes on the Czechoslovak front, Kun's forces were ultimately unable to resist the Romanian invasion; by August 1919, Romanian troops occupied Budapest and ousted Kun. In November 1919, rightist forces led by former Austro-Hungarian admiral Miklós Horthy entered Budapest; exhausted by the war and its aftermath, the populace accepted Horthy's leadership. In January 1920, parliamentary elections were held, and Horthy was proclaimed regent of the reestablished Kingdom of Hungary , inaugurating the so-called "Horthy era" ( Horthy-kor ). The new government worked quickly to normalise foreign relations while turning a blind eye to a White Terror that swept through the countryside; extrajudicial killings of suspected communists and Jews lasted well into 1920. On 4 June 1920, the Treaty of Trianon established new borders for Hungary. The country lost 71% of its territory and 66% of its pre-war population, as well as many sources of raw materials and its sole port at Fiume . ] ] Though the revision of the treaty quickly rose to the top of the national political agenda, the Horthy government was not willing to resort to military intervention to do so. The initial years of the Horthy regime were preoccupied with putsch attempts by Charles IV , the Austro-Hungarian pretender ; continued suppression of communists; and a migration crisis triggered by the Trianon territorial changes. The government's actions continued to drift right with the passage of antisemitic laws and, because of the continued isolation of the Little Entente, economic and then political gravitation towards Italy and Germany . The Great Depression further exacerbated the situation, and the popularity of fascist politicians increased, such as Gyula Gömbös and Ferenc Szálasi , promising economic and social recovery. Horthy's nationalist agenda reached its apogee in 1938 and 1940, when the Nazis rewarded Hungary's staunchly pro-Germany foreign policy in the First and Second Vienna Awards , peacefully restoring ethnic-Hungarian-majority areas lost after Trianon. In 1939, Hungary regained further territory from
staunchly pro-Germany foreign policy in the First and Second Vienna Awards , peacefully restoring ethnic-Hungarian-majority areas lost after Trianon. In 1939, Hungary regained further territory from Czechoslovakia through force . Hungary formally joined the Axis powers on 20 November 1940 and in 1941 participated in the invasion of Yugoslavia , gaining some of its former territories in the south. Hungary formally entered World War II as an Axis power on 26 June 1941, declaring war on the Soviet Union after unidentified planes bombed Kassa , Munkács , and Rahó . Hungarian troops fought on the Eastern Front for two years. Despite early success at the Battle of Uman , ] the government began seeking a secret peace pact with the Allies after the Second Army suffered catastrophic losses at the River Don in January 1943. Learning of the planned defection, German troops occupied Hungary on 19 March 1944 to guarantee Horthy's compliance. In October, as the Soviet front approached, and the government made further efforts to disengage from the war, German troops ousted Horthy and installed a puppet government under Szálasi's fascist Arrow Cross Party . ] Szálasi pledged all the country's capabilities in service of the German war machine. By October 1944, the Soviets had
The forint ( sign Ft ; code HUF ) is the currency of Hungary . It was formerly divided into 100 fillér , but fillér coins are no longer in circulation. The introduction of the forint on 1 August 1946 was a crucial step in the post- World War II stabilisation of the Hungarian economy , and the currency remained relatively stable until the 1980s. Transition to a market economy in the early 1990s adversely affected the value of the forint; inflation peaked at 35% in 1991. Between 2001 and 2022, inflation was in single digits, and the forint has been declared fully convertible . ] In May 2022, inflation reached 10.7% amid the Russian invasion of Ukraine and economic uncertainty. ] As a member of the European Union , the long-term aim of the Hungarian government may be to replace the forint with the euro , although under the current government there is no target date for adopting the euro. ] The forint's name comes from the city of Florence , where gold coins called fiorino d'oro were minted from 1252. In Hungary, the florentinus (later forint ), also a gold-based currency, was used from 1325 under Charles Robert , with several other countries following Hungary's example. ] Between 1868 and 1892, the forint was the name used in Hungarian for the currency of the Austro-Hungarian Empire , known in German as the Gulden . It was subdivided into 100 krajczár ( krajcár in modern Hungarian orthography; cf German Kreuzer ). ] The forint was reintroduced on 1 August 1946, after the pengő was rendered worthless by massive hyperinflation in 1945–46, the highest ever recorded. This was brought about by a mixture of the high demand for reparations from the USSR , Soviet plundering of Hungarian industries, and the holding of Hungary's gold reserves in the United States . ] The different parties in the government had different plans to solve this problem. To the Independent Smallholders' Party –which had won a large majority in the 1945 Hungarian parliamentary election –as well as the Social Democrats , outside support was essential. However, the Soviet Union and its local supporters in the Hungarian Communist Party were opposed to raising loans in the West, and thus the Communist Party masterminded the procedure using exclusively domestic resources. The Communist plan called for tight limits on personal spending, as well as the concentration of existing stocks clarification needed ] in state hands. ] The forint replaced the pengő at the theoretical rate of 1 forint = 4 × 10 29 pengő, thus dropping 29 zeroes from the old currency. In reality, with the highest-value note being 100 million B. pengő ( 10 20 pengő), the total amount of pengő in circulation had a value of less than 1 ⁄ 1000 of a forint. (The "B" stood for a long scale "billion", i.e., a million million.) Of more significance was the exchange rate to the adópengő of 1 forint = 200 million adópengő. citation needed ] Historically, the forint was subdivided into 100 fillér , although fillér coins have been
more significance was the exchange rate to the adópengő of 1 forint = 200 million adópengő. citation needed ] Historically, the forint was subdivided into 100 fillér , although fillér coins have been rendered useless by inflation and have not been in circulation since 1999. (Since 2000, one forint has typically been worth about half a US cent or slightly less.) The Hungarian abbreviation for forint is Ft , which is written after the number with a space between. The name fillér, the subdivision of all Hungarian currencies since 1925, comes from the German word Vierer which denoted a four-krajcár-piece. The abbreviation for the fillér was f , also written after the number with a space in between. citation needed ] When the forint was introduced, its value was defined on the basis of 1 kilogram of fine gold being 13,210 Ft (or 1 Ft = 75.7 mg fine gold). Therefore, given that gold was fixed at £8 8s (£8.40 in modern decimal notation) sterling per troy ounce, one pound sterling was at that time worth about 49 forint. After its 1946 introduction, the forint remained stable for the following two decades, but started to lose its purchasing power as the state-socialist economic system ( planned economy ) lost its competitiveness during the 1970s and 1980s. After the democratic change of 1989–90, the forint saw yearly inflation figures of about 35% for three years, but significant market economy reforms helped stabilize it. citation needed ] In 1946, coins were introduced in denominations of 2, 10, 20 fillérs and 1, 2, 5 forints. The silver 5 forint coin was reissued only in the next year; later it was withdrawn from circulation. Five and 50 fillérs coins were issued in 1948. In 1967, a 5 forint coin was reintroduced, followed by a 10 forint in 1971 and 20 forint in 1982. In 1992, a new series of coins was introduced in denominations of 1, 2, 5, 10, 20, 50, 100 and (a somewhat different, 500 ‰ silver) 200 forint. Production of the 2 and 5 fillér coins ceased in 1992, with all fillér coins withdrawn from circulation by 1999. From 1996, a bicolor 100 forint coin was minted to replace the 1992 version, since the latter was considered too big and ugly, and could easily be mistaken for the 20 forint coin. Silver 200 forint coins were withdrawn in 1998 (as their nominal value was too low compared to their precious metal content); the 1 and 2 forint coins remained legal tender until 29 February 2008. ] For cash purchases, the total price is now rounded to the nearest multiple of 5 forint (to 0 or to 5). ] A new 200 forint coin ] made of base metal alloy was introduced in place of the 200 forint banknote on 15 June 2009. In 1946, 10 and 100 forint notes were introduced by the Hungarian National Bank . A new series of higher quality banknotes (in denominations of 10, 20 and 100 forints) were introduced in 1947 and 1948. 50 forint notes were added in 1953, 500 forint notes were introduced in 1970, followed by 1,000 forints in 1983, and 5,000 forints in 1991. A
10, 20 and 100 forints) were introduced in 1947 and 1948. 50 forint notes were added in 1953, 500 forint notes were introduced in 1970, followed by 1,000 forints in 1983, and 5,000 forints in 1991. A completely redesigned new series of banknotes in denominations of 200, 500, 1,000, 2,000, 5,000, 10,000 and 20,000 forints was introduced gradually between 1997 and 2001. Each banknote depicts a famous Hungarian leader or politician on the obverse and a place or event related to him on the reverse. All of the banknotes are watermarked , contain an embedded vertical security strip and are suitable for visually impaired people. The 1,000 forints and higher denominations are protected by an interwoven holographic security strip. The notes share the common size of 154 mm × 70 mm (6.1 in × 2.8 in). The banknotes are printed by the Hungarian Banknote Printing Corp. in Budapest on paper manufactured by the Diósgyőr Papermill in Miskolc . Commemorative banknotes have also been issued recently: 1,000 and 2,000 forint notes to commemorate the millennium (in 2000) and a 500-forint note to commemorate the 50th anniversary of the 1956 revolution (in 2006). The 200-forint banknote was withdrawn from circulation in 2009, as its value inflated over time. ] The banknote was replaced by a bimetallic 200-forint coin featuring the iconic Széchenyi Chain Bridge . ] Forgery of forint banknotes is not significant. However, forged 20,000 forint notes printed on the paper of 2,000 forint notes after dissolving the original ink might come up and are not easy to recognize. Another denomination preferred by counterfeiters was the 1,000 forint note until improved security features were added in 2006. Worn banknotes no longer fit for circulation are withdrawn, destroyed and turned into briquettes which are donated to public benefit (charitable) organizations to be used as heating fuel. ] In 2014, a new revised version of the 1997 banknote series was gradually put into circulation beginning with the 10,000 Ft banknote in 2014 and completed with the 500 Ft banknote in 2019. In 2022 after Russia's invasion of Ukraine , the EUR-HUF exchange rate breached the 400 forints per 1 euro line for the first time, but rates at that level or higher lasted until the end of 2022. Some time later, the forint also depreciated against the US dollar, breaching the same line. ] ] The forint returned to less than 400 forints per 1 euro in January 2023. ] Against the US dollar the forint strengthened more markedly, returning to levels below 400 in November 2022 and below 350 in April 2023. Forints per dollar, euro, etc. Most traded currencies (from 31 December 1990): Sources : arfolyam.iridium.hu Currencies of nearby countries (from 31 December 2010): Sources : arfolyam.iridium.hu
The pound ( Irish : punt ) was the currency of Ireland until 2002. Its ISO 4217 code was IEP , and the symbol was £ (or £Ir for distinction. ] ) The Irish pound was replaced by the euro on 1 January 1999. ] Euro currency did not begin circulation until the beginning of 2002. The earliest Irish coinage was introduced in the late 10th century, ] with an £sd system of one pound divided into twenty shillings , each of twelve silver pence . citation needed ] Parity with sterling was established by King John around 1210, so that Irish silver could move freely into the English economy and help to finance his wars in France. ] However, from 1460, Irish coins were minted with a different silver content than those of England, citation needed ] so that the values of the two currencies diverged. During the Williamite War of 1689–1691, King James II , no longer reigning in England and Scotland, issued an emergency base-metal coinage known as gun money . citation needed ] In 1701, the relationship between the Irish pound and sterling was fixed at £13 Irish to £12 sterling citation needed ] (The Pound Scots had yet another value; it was absorbed into sterling in 1707 at a ratio of 12 to 1.) This relationship made it possible for Irish copper coins to circulate with English silver coins, since thirteen Irish pence had the same value as one English shilling. In 1801, the Kingdom of Ireland became part of the United Kingdom , but the Irish pound continued to circulate until January 1826. Between 1804 and 1813, silver tokens worth 10d were issued by the Bank of Ireland and were denominated in pence Irish. ] The last copper coins of the Irish pound were minted in 1823, and in 1826 the Irish pound was merged with the pound sterling. ] After 1826, some Irish banks continued to issue paper currency, but these were denominated in sterling, and no more distinctly Irish coins were minted until the creation of the Irish Free State in the 20th century. From continuing to use sterling after its independence (1922), the new Irish Free State ( Irish : Saorstát Éireann ) introduced its own currency from 1928. ] The new Free State pound was defined by the 1927 Act to have exactly the same weight and fineness of gold as did the sovereign at the time, having the effect of making the new currency pegged at 1:1 with sterling. De facto rather than de jure parity with sterling was maintained for another fifty years. As with sterling, the £sd system was used, with the Irish names punt (plural: puint ), scilling (plural: scillingí ) and pingin (plural: pinginí ). Distinctive coins and notes were introduced, the coins from 1928 (in eight denominations: 1 ⁄ 4 d , 1 ⁄ 2 d , 1d , 3d , 6d , shilling (1–), half crown (2– coin , a commemorative piece not meant for circulation) – all but the 3d and 6d had the same dimensions as their British counterparts, the Irish coins being thicker nickel coins in contrast to the thin silver ones issued in the UK. However, sterling specie generally continued
6d had the same dimensions as their British counterparts, the Irish coins being thicker nickel coins in contrast to the thin silver ones issued in the UK. However, sterling specie generally continued to be accepted on a one-for-one basis everywhere, whereas Irish coin was not generally accepted in the United Kingdom, except in parts of Northern Ireland . ] The name of the state was officially changed to "Ireland" ( Irish : Éire ) on the coming into force of the Constitution of Ireland on 29 December 1937. On 10 May 1938, the name of the currency became the Irish pound. ] The Report of the Metric System and Decimal Coinage Committee (1959) was amongst the first formal reports on decimalisation of the currency, discussion continued into the 1960s on the topic. When the British government decided to decimalise its currency, the Irish government followed suit. The Decimal Currency Act 1969 replaced the traditional shilling and penny with a centesimal subdivision, the "new penny" ( pingin nua ; symbol: p). The pound itself was not revalued by this act and therefore banknotes were unaffected, although the 10/– note was replaced by a 50p coin due to spiralling inflation. The new 5p coin correlated with the shilling coin, and the new 10p coin correlated with the florin coin. New coins were issued of the same dimensions and materials as the corresponding new British coins. ] The Decimal Currency Act 1970 made additional provisions for the changeover not related with the issue of coins. ] Decimalisation was overseen by the Irish Decimal Currency Board, created on 12 June 1968. It provided changeover information to the public, including a pamphlet called Everyone's Guide to Decimal Currency . The changeover occurred on Decimal Day , 15 February 1971. The European Monetary System was introduced in the 1970s. Ireland decided to join it in 1978, while the United Kingdom stayed out. ] The European Exchange Rate Mechanism finally broke the one-for-one link that existed between the Irish pound and the pound sterling ; by 30 March 1979 an exchange rate was introduced. ] This period also saw the creation of the Currency Centre at Sandyford in 1978, where banknotes and coinage could be manufactured within the state. Before this, banknotes were printed by specialist commercial printers in England, and coins were struck by the British Royal Mint . Until 1986, all decimal Irish coins were the same shape and size as their UK counterparts. After this, however, all new denominations or redesigned coins were of different sizes to the UK coinage. The new 20p coin introduced that year and the £1 coin (introduced in 1990) were completely different in size, shape and composition from the previously introduced UK versions. When the UK 5p and 10p coins were reduced in size, the Irish followed suit, but the new Irish 10p was smaller than the new UK version introduced in 1992 and the new Irish 5p was slightly larger than the UK version introduced in 1990. The Irish 50p was never
followed suit, but the new Irish 10p was smaller than the new UK version introduced in 1992 and the new Irish 5p was slightly larger than the UK version introduced in 1990. The Irish 50p was never reduced in size (as it was in the UK in 1997). Despite not being legal tender, British sterling coins of the same shape and size were customarily accepted in Ireland. At time of the replacement with the euro, these were the 1p, 2p and 5p (although it was not exactly the same as the British 5p). ] On 31 December 1998, the exchange rates between the European Currency Unit and the Irish pound and 10 other EMS currencies (all but the pound sterling, the Swedish krona and the Danish krone) were fixed. The fixed conversion factor for the Irish pound was EUR 1.00 = IEP 0.787564. Of the 15 national currencies originally tied to the euro (including the currencies of Vatican City , Monaco and San Marino ), the Irish pound was the only one whose conversion factor was less than 1, i.e. the unit of the national currency was worth more than one euro – almost EUR 1.27 in this case. Although the euro became the currency of the eurozone countries including Ireland on 1 January 1999, it was not until 1 January 2002 that the state began to withdraw Irish pound coins and notes, replacing them with euro notes and coins. All other eurozone countries withdrew their currencies in a similar fashion, from that date. Irish pound coins and notes ceased to be legal tender on 9 February 2002. ] All Irish coins and banknotes, from the start of the Irish Free State onwards, both decimal and pre-decimal, may be redeemed for euros at Ireland's Central Bank in Dublin.
Motor Tax ( Irish : Cáin Mhótair ) is an annual duty payable on motor vehicles (subject to exemptions) in Ireland for use in public places. A new system for new private cars was introduced on July 1, 2008, where the tax rates are based on the carbon dioxide emissions of the car while in operation. Prior to this, tax rates are assessed on engine displacement ; this includes used imports first registered in their original country of sale before July 2008. Motorcycles are all taxed the same regardless of engine displacement, with a special rate for electrically powered cycles. For goods vehicles, commercial vehicles, and public service vehicles , it is based on weight or is a standardised fee. For taxation of cars with Wankel engines under the old size-based system, the actual engine displacement is multiplied by 1.5, so for example, a Mazda RX-8 with a 1.3-litre rotary engine is taxed as a 1.8-litre engined vehicle. Motor tax can be purchased for a duration of three, six, or twelve months for some classes of vehicles. Valid vehicle insurance is required to pay for motor tax. Once tax is paid, the vehicle owner receives a motor tax disc, which is required by law to be displayed on the vehicle (usually on the front windscreen where available, along with insurance and NCT discs where required). Failure to display a tax disc can result in a fine, and failure to pay for motor tax can result in further fines or prosecution. Motor tax can be refunded if the car has not been in use in public places under certain circumstances, for example, if the vehicle has been scrapped, permanently exported from the country, stolen and not recovered, or the owner has been unable to use the vehicle for certain reasons. As of 2014 ] , annual motor tax rates for private cars on the emissions-based system range from €120 (0 gkm). ] Tax for motorcycles varies from €35 to €88. ] Vehicles 30 years old or more qualify for "vintage" motor tax status - a special low rate of €26 per year for motorcycles or €56 per year for all other vehicles. ] Motor tax can be paid in annual, half-year and quarterly instalments. The tax can be paid online or in person at Motor Tax Offices. There are a number of exempt vehicles:
– in Europe (light green & dark grey) – in the European Union (light green) The Netherlands , ] informally Holland , is a country located in Northwestern Europe with overseas territories in the Caribbean . It is the largest of the four constituent countries of the Kingdom of the Netherlands . ] The Netherlands consists of twelve provinces ; it borders Germany to the east and Belgium to the south, with a North Sea coastline to the north and west. It shares maritime borders with the United Kingdom , Germany, and Belgium. ] The official language is Dutch, with West Frisian as a secondary official language in the province of Friesland . ] Dutch, English, and Papiamento are official in the Caribbean territories . ] Netherlands literally means "lower countries" in reference to its low elevation and flat topography, with 26% situated below sea level . ] Most of the areas below sea level, known as polders , are the result of land reclamation that began in the 14th century . ] In the Republican period , which began in 1588, the Netherlands entered a unique era of political, economic, and cultural greatness, ranked among the most powerful and influential in Europe and the world; this period is known as the Dutch Golden Age . ] During this time, its trading companies, the Dutch East India Company and the Dutch West India Company , established colonies and trading posts all over the world. ] ] With a population of over 17.9 million people, all living within a total area of 41,850 km 2 (16,160 sq mi)—of which the land area is 33,500 km 2 (12,900 sq mi)—the Netherlands is the 33rd most densely populated country, with a density of 535 people per square kilometre (1,390 people/sq mi). Nevertheless, it is the world's second-largest exporter of food and agricultural products by value, owing to its fertile soil , mild climate, intensive agriculture , and inventiveness . ] ] ] The four largest cities in the Netherlands are Amsterdam , Rotterdam , The Hague and Utrecht . ] Amsterdam is the country's most populous city and the nominal capital , though the primary national political institutions are located in the Hague. ] The Netherlands has been a parliamentary constitutional monarchy with a unitary structure since 1848. The country has a tradition of pillarisation (separation of citizens into groups by religion and political beliefs) and a long record of social tolerance , having legalised prostitution and euthanasia , along with maintaining a liberal drug policy . The Netherlands allowed women's suffrage in 1919 and was the first country to legalise same-sex marriage in 2001. ] Its mixed-market advanced economy has the eleventh-highest per capita income globally. The Hague holds the seat of the States General , Cabinet , and Supreme Court . ] The Port of Rotterdam is the busiest in Europe . ] Schiphol is the busiest airport in the Netherlands , and the fourth busiest in Europe . Being a developed country , the Netherlands is a founding member of the European Union
busiest in Europe . ] Schiphol is the busiest airport in the Netherlands , and the fourth busiest in Europe . Being a developed country , the Netherlands is a founding member of the European Union , Eurozone , G10 , NATO , OECD , and WTO , as well as a part of the Schengen Area and the trilateral Benelux Union. It hosts intergovernmental organisations and international courts , many of which are in The Hague. ] The countries that comprise the region called the Low Countries (Netherlands, Belgium , and Luxembourg ) all have comparatively the same toponymy . Place names with Neder , Nieder , Nedre , Nether , Lage(r) or Low(er) (in Germanic languages ) and Bas or Inferior (in Romance languages ) are in use in low-lying places all over Europe. The Romans made a distinction between the Roman provinces of downstream Germania Inferior (nowadays part of Belgium and the Netherlands) and upstream Germania Superior . Thus, in the case of the Low Countries and the Netherlands, the geographical location of this lower region is more or less downstream and near the sea, compared to that of the upper region of Germania Superior. The designation 'Low' returned in the 10th-century Duchy of Lower Lorraine , which covered much of the Low Countries. ] ] The Dukes of Burgundy used the term les pays de par deçà ("the lands over here") for the Low Countries. ] Under Habsburg rule , this became pays d'embas ("lands down-here"). ] This was translated as Neder-landen in contemporary Dutch official documents. ] From a regional point of view, Niderlant was also the area between the Meuse and the lower Rhine in the late Middle Ages. From the mid-sixteenth century, the "Low Countries" and the "Netherlands" lost their original deictic meaning . In most Romance languages , the term "Low Countries" is officially used as the name for the Netherlands. The term Holland has frequently been used informally to refer to the whole of the modern country of the Netherlands in various languages, ] including Dutch ] ] and English. In some languages, Holland is used as the formal name for the Netherlands. However, Holland is a region within the Netherlands that consists of the two provinces of North and South Holland . Formerly these were a single province, and earlier the County of Holland , which included parts of present-day Utrecht . The emphasis on Holland during the formation of the Dutch Republic , the Eighty Years' War , and the Anglo-Dutch Wars in the 16th, 17th, and 18th centuries, made Holland a pars pro toto for the entire country. ] ] Many Dutch people object to the country being referred to as Holland instead of the Netherlands , on much the same grounds as many Welsh or Scottish people object to the United Kingdom being referred to as England. ] In particular, those from regions other than Holland find it undesirable or misrepresentative to use the term Holland for the whole country, ] as the Holland region only comprises two of the twelve provinces, and 38% of Dutch citizens.
than Holland find it undesirable or misrepresentative to use the term Holland for the whole country, ] as the Holland region only comprises two of the twelve provinces, and 38% of Dutch citizens. As of 2019, the Dutch government officially has preferred the Netherlands instead of Holland when talking about the country . ] ] ] Often Holland or Hollanders is used by the Flemish to refer to the Dutch in the Netherlands, ] and by the Southern Dutch (Dutch living " below the great rivers ", a natural cultural, social and religious boundary formed by the rivers Rhine and Meuse ) to refer to the Northern Dutch (Dutch living North of these rivers). ] In the Southern province of Limburg, the term is used for the Dutch from the other 11 provinces. ] The use of the term in this context by the Southern Dutch is in a derogatory fashion. ] ] Dutch is used as the adjective for the Netherlands, as well as the demonym . The origins of the word go back to Proto-Germanic *þiudiskaz , Latinised into Theodiscus , meaning "popular" or "of the people", akin to Old Dutch Dietsch or Old English þeodisc , meaning "(of) the common ( Germanic ) people". ] At first, the English language used Dutch to refer to any or all speakers of West Germanic languages . Gradually its meaning shifted to the West Germanic people they had the most contact with. ] The oldest human ( Neanderthal ) traces in the Netherlands, believed to be about 250,000 years old, were found near Maastricht . ] At the end of the Ice Age , the nomadic late Upper Palaeolithic Hamburg culture (13,000–10,000 BC) hunted reindeer in the area, using spears. The later Ahrensburg culture (11,200–9,500 BC) used bow and arrow . From Mesolithic Maglemosian-like tribes (c. 8000 BC), the world's oldest canoe was found in Drenthe . ] Indigenous late Mesolithic hunter-gatherers from the Swifterbant culture (c. 5600 BC), related to the southern Scandinavian Ertebølle culture , were strongly linked to rivers and open water. ] Between 4800 and 4500 BC, the Swifterbant people started to adopt from the neighbouring Linear Pottery culture the practice of animal husbandry , and between 4300 and 4000 BC agriculture. ] The Funnelbeaker culture (4300–2800 BC) erected the dolmens , large stone grave monuments found in Drenthe . There was a quick transition from the Funnelbeaker farming culture to the pan-European Corded Ware pastoralist culture (c. 2950 BC). In the southwest, the Seine-Oise-Marne culture —related to the Vlaardingen culture (c. 2600 BC)—survived well into the Neolithic period, until it too was succeeded by the Corded Ware culture. The subsequent Bell Beaker culture (2700–2100 BC) ] introduced metalwork in copper, gold and later bronze and opened new international trade routes, reflected in copper artefacts . Finds of rare bronze objects suggest that Drenthe was a trading centre in the Bronze Age (2000–800 BC). The Bell Beaker culture developed locally into the Barbed-Wire Beaker culture (2100–1800 BC) and later the Elp
objects suggest that Drenthe was a trading centre in the Bronze Age (2000–800 BC). The Bell Beaker culture developed locally into the Barbed-Wire Beaker culture (2100–1800 BC) and later the Elp culture (1800–800 BC), ] a Middle Bronze Age culture marked by earthenware pottery. The southern region became dominated by the related Hilversum culture (1800–800 BC). From 800 BC onwards, the Iron Age Celtic Hallstatt culture became influential, replacing the Hilversum culture . Iron ore brought a measure of prosperity and was available throughout the country. Smiths travelled from settlement to settlement with bronze and iron, fabricating tools on demand. The King's grave of Oss (700 BC) was found in a burial mound, the largest of its kind in Western Europe. The deteriorating climate in Scandinavia from 850 BC and 650 BC might have triggered the migration of Germanic tribes from the North. By the time this migration was complete, around 250 BC, a few general cultural and linguistic groups had emerged. ] ] The North Sea Germanic Ingaevones inhabited the northern part of the Low Countries . They would later develop into the Frisii and the early Saxons . ] The Weser–Rhine Germanic (or Istvaeones ) extended along the middle Rhine and Weser and inhabited the Low Countries south of the great rivers. These tribes would eventually develop into the Salian Franks . ] The Celtic La Tène culture (c. 450 BC to the Roman conquest) expanded over a wide range, including the southern area of the Low Countries . Some scholars have speculated that even a third ethnic identity and language, neither Germanic nor Celtic, survived in the Netherlands until the Roman period, the Nordwestblock culture. ] ] The first author to describe the coast of Holland and Flanders was the geographer Pytheas , who noted in c. 325 BC that in these regions, "more people died in the struggle against water than in the struggle against men." ] During the Gallic Wars , the area south and west of the Rhine was conquered by Roman forces under Julius Caesar from 57 BC to 53 BC. ] Caesar describes two main Celtic tribes living in what is now the southern Netherlands: the Menapii and the Eburones . Under Augustus , the Roman Empire would conquer the entirety of the modern day Netherlands, incorporating it into the province of Germania Antiqua in 7 BC, but would be repelled back across the Rhine after the Battle of Teutoburg Forest in 9 AD, with the Rhine becoming fixed as Rome's permanent northern frontier around 12 AD. Notable towns would arise along the Limes Germanicus : Nijmegen and Voorburg . In the first part of Gallia Belgica , the area south of the Limes became part of the Roman province of Germania Inferior . The area to the north of the Rhine, inhabited by the Frisii, remained outside Roman rule, while the Germanic border tribes of the Batavi and Cananefates served in the Roman cavalry . ] The Batavi rose against the Romans in the Batavian rebellion of 69 AD but were eventually defeated. The
while the Germanic border tribes of the Batavi and Cananefates served in the Roman cavalry . ] The Batavi rose against the Romans in the Batavian rebellion of 69 AD but were eventually defeated. The Batavi later merged with other tribes into the confederation of the Salian Franks, whose identity emerged in the first half of the third century. ] Salian Franks appear in Roman texts as both allies and enemies. They were forced by the confederation of the Saxons from the east to move over the Rhine into Roman territory in the fourth century. From their new base in West Flanders and the Southwest Netherlands, they were raiding the English Channel . Roman forces pacified the region but did not expel the Franks, who continued to be feared at least until the time of Julian the Apostate (358) when Salian Franks were allowed to settle as foederati in Texandria . ] After the Roman government in the area collapsed in roughly the year 406, ] the Franks expanded their territories into numerous kingdoms. By the 490s, Clovis I had conquered and united all these territories in the southern Netherlands in one Frankish kingdom , and from there continued his conquests into Gaul . During this expansion, Franks migrating to the south (modern territory of France and Walloon part of Belgium) eventually adopted the Vulgar Latin of the local population. ] A widening cultural divide grew with the Franks remaining in their original homeland in the north (i.e. the southern Netherlands and Flanders), who kept on speaking Old Frankish , which by the ninth century had evolved into Old Low Franconian or Old Dutch. ] A Dutch-French language boundary hence came into existence. ] ] To the north of the Franks, climatic conditions improved, and during the Migration Period Saxons , the closely related Angles , Jutes , and Frisii settled the coast. ] Many moved on to England and came to be known as Anglo-Saxons , but those who stayed would be referred to as Frisians and their language as Frisian . ] Frisian was spoken along the entire southern North Sea coast. By the seventh century, a Frisian Kingdom (650–734) under King Aldegisel and King Redbad emerged with Traiectum ( Utrecht ) as its centre of power, ] ] while Dorestad was a flourishing trading place. ] ] Between 600 and around 719 the cities were often fought over between the Frisians and the Franks. In 734, at the Battle of the Boarn , the Frisians were defeated after a series of wars . With the approval of the Franks, the Anglo-Saxon missionary Willibrord converted the Frisian people to Christianity and established the Archdiocese of Utrecht . However, his successor Boniface was murdered by the Frisians in 754. The Frankish Carolingian empire controlled much of Western Europe. In 843, it was divided into three parts— East , Middle , and West Francia . Most of present-day Netherlands became part of Middle Francia, which was a weak kingdom and subject to numerous partitions and annexation attempts by its stronger neighbours. It
, and West Francia . Most of present-day Netherlands became part of Middle Francia, which was a weak kingdom and subject to numerous partitions and annexation attempts by its stronger neighbours. It comprised territories from Frisia in the north to the Kingdom of Italy in the south. Around 850, Lothair I of Middle Francia acknowledged the Viking Rorik of Dorestad as ruler of most of Frisia. When the kingdom of Middle Francia was partitioned in 855, the lands north of the Alps passed to Lothair II and subsequently were named Lotharingia . After he died in 869, Lotharingia was partitioned, into Upper and Lower Lotharingia , the latter comprising the Low Countries that became part of East Francia in 870. Around 879, another Viking expedition led by Godfrid, Duke of Frisia , raided the Frisian lands. Resistance to the Vikings, if any, came from local nobles, who gained in stature as a result, and that laid the basis for the disintegration of Lower Lotharingia into semi-independent states. One of these local nobles was Gerolf of Holland , who assumed lordship in Frisia, and Viking rule came to an end. ] The Holy Roman Empire ruled much of the Low Countries in the 10th and 11th century but was not able to maintain political unity. Powerful local nobles turned their cities, counties and duchies into private kingdoms that felt little sense of obligation to the emperor. ] Holland , Hainaut , Flanders , Gelre , Brabant , and Utrecht were in a state of almost continual war or paradoxically formed personal unions. As Frankish settlement progressed from Flanders and Brabant, the area quickly became Old Low Franconian (or Old Dutch). Around 1000 AD, due to several agricultural developments, the economy started to develop at a fast pace, and the higher productivity allowed workers to farm more land or become tradesmen. Towns grew around monasteries and castles , and a mercantile middle class began to develop in these urban areas, especially in Flanders, and later Brabant. Wealthy cities started to buy certain privileges for themselves from the sovereign. Around 1100 AD, farmers from Flanders and Utrecht began draining and cultivating uninhabited swampy land in the western Netherlands, making the emergence of the County of Holland as the centre of power possible. The title of Count of Holland was fought over in the Hook and Cod Wars between 1350 and 1490. The Cod faction consisted of the more progressive cities, while the Hook faction consisted of the conservative noblemen. These noblemen invited Duke Philip the Good of Burgundy to conquer Holland. citation needed ] Most of the Imperial and French fiefs in what is now the Netherlands and Belgium were united in a personal union by Philip the Good in 1433. The House of Valois-Burgundy and their Habsburg heirs would rule the Low Countries from 1384 to 1581. The new rulers defended Dutch trading interests. The fleets of the County of Holland defeated the fleets of the Hanseatic League several times. Amsterdam grew
the Low Countries from 1384 to 1581. The new rulers defended Dutch trading interests. The fleets of the County of Holland defeated the fleets of the Hanseatic League several times. Amsterdam grew and in the 15th century became the primary trading port in Europe for grain from the Baltic region . Amsterdam distributed grain to the major cities of Belgium, Northern France and England. This trade was vital because Holland could no longer produce enough grain to feed itself. Land drainage had caused the peat of the former wetlands to reduce to a level that was too low for drainage to be maintained. ] Under Habsburg Charles V , all fiefs in the current Netherlands region were united into the Seventeen Provinces , which included most of present-day Belgium, Luxembourg, and parts of France and Germany. In 1568, under Phillip II, the Eighty Years' War between the Provinces and their Spanish ruler began. The level of ferocity exhibited by both sides can be gleaned from a Dutch chronicler's report: ] On more than one occasion men were seen hanging their own brothers, who had been taken prisoners in the enemy's ranks... A Spaniard had ceased to be human in their eyes. On one occasion, a surgeon at Veer cut the heart from a Spanish prisoner, nailed it on a vessel's prow, and invited the townsmen to come and fasten their teeth in it, which many did with savage satisfaction. The Duke of Alba attempted to suppress the Protestant movement in the Netherlands. Netherlanders were "burned, strangled, beheaded, or buried alive" by his " Blood Council " and Spanish soldiers. Bodies were displayed along roads to terrorise the population into submission. Alba boasted of having executed 18,600; ] ] this figure does not include those who perished by war and famine. ] The first great siege was Alba's effort to capture Haarlem and thereby cut Holland in half. It dragged on from December 1572 to the next summer, when Haarlemers finally surrendered on 13 July upon the promise that the city would be spared from being sacked. It was a stipulation Don Fadrique was unable to honour, when his soldiers mutinied, angered over pay owed and the miserable conditions of the campaign. ] On 4 November 1576, Spanish tercios seized Antwerp and subjected it to the worst pillage in the Netherlands' history. The citizens resisted but were overcome; seven thousand were killed and a thousand buildings were torched. ] Following the sack of Antwerp , delegates from Catholic Brabant, Protestant Holland and Zeeland agreed to join Utrecht and William the Silent in driving out Spanish troops and forming a new government for the Netherlands. Don Juan of Austria , the new Spanish governor, was forced to concede initially, but within months returned to active hostilities. The Dutch looked for help from the Protestant Elizabeth I of England, but she initially stood by her commitments to the Spanish in the Treaty of Bristol of 1574. When the next large-scale battle occurred at Gembloux in 1578, the
the Protestant Elizabeth I of England, but she initially stood by her commitments to the Spanish in the Treaty of Bristol of 1574. When the next large-scale battle occurred at Gembloux in 1578, the Spanish forces won easily. ] In light of the defeat at Gembloux , the southern states of the Seventeen Provinces distanced themselves from the rebels in the north with the 1579 Union of Arras . Opposing them, the northern half of the Seventeen Provinces forged the Union of Utrecht in which they committed to support each other against the Spanish. ] The Union of Utrecht is seen as the foundation of the modern Netherlands. ] Spanish troops sacked Maastricht in 1579, killing over 10,000 civilians. ] In 1581, the northern provinces adopted the Act of Abjuration , the declaration of independence in which the provinces officially deposed Philip II. ] Against the rebels Philip could draw on the resources of the Spanish Empire . Elizabeth I sympathised with the Dutch struggle and sent an army of 7,600 soldiers to aid them. ] English forces faced the Spanish in the Netherlands under the Duke of Parma in a series of largely indecisive actions that tied down significant numbers of Spanish troops and bought time for the Dutch to reorganise their defences. ] The war continued until 1648, when Spain under King Philip IV recognised the independence of the seven north-western provinces in the Peace of Münster . ] Parts of the southern provinces became de facto colonies of the new republican-mercantile empire. ] Following the declaration of independence, the provinces of Holland , Zeeland , Groningen , Friesland , Utrecht , Overijssel , and Gelderland entered into a confederation . All these duchies, lordships and counties enjoyed a significant degree of autonomy and was governed by its own administrative body known as the States-Provincial . The confederal government, known as the States General , was headquartered in The Hague and comprised representatives from each of the seven provinces. The sparsely populated region of Drenthe was part of the republic, albeit not considered a province in its own right. Moreover, during the Eighty Years' War , the Republic came to occupy a number of Generality Lands located in Flanders , Brabant and Limburg . These areas were primarily inhabited by Roman Catholics and lacked a distinct governmental structure of their own. They were utilized as a buffer zone between the Republic and the Spanish-controlled Southern Netherlands . ] In the Dutch Golden Age , spanning much of the 17th century, the Dutch Empire grew to become one of the major seafaring and economic powers. Science, military and art (especially painting ) were among the most acclaimed in the world. By 1650, the Dutch owned 16,000 merchant ships. ] The Dutch East India Company and the Dutch West India Company established colonies and trading posts all over the world. The Dutch settlement in North America began with the founding of New Amsterdam in 1614. In South Africa,
and the Dutch West India Company established colonies and trading posts all over the world. The Dutch settlement in North America began with the founding of New Amsterdam in 1614. In South Africa, the Dutch settled the Cape Colony in 1652. Dutch colonies in South America were established along the many rivers in the fertile Guyana plains, among them Colony of Surinam (now Suriname ). In Asia, the Dutch established a presence in India , the Dutch East Indies (now Indonesia ), Formosa (now Taiwan ), and the only western trading post in Japan, Dejima . ] During the period of Proto-industrialisation , the empire received 50% of textiles and 80% of silks import from the India's Mughal Empire . ] ] ] ] Many economic historians regard the Netherlands as the first thoroughly capitalist country. In early modern Europe, it had the wealthiest trading city in Amsterdam , and the first full-time stock exchange . The inventiveness of the traders led to insurance and retirement funds as well as phenomena such as the boom-bust cycle , the world's first asset-inflation bubble , the tulip mania of 1636–1637, and the world's first bear raider , Isaac le Maire . ] In 1672 – known in Dutch history as the Rampjaar (Disaster Year) – the Dutch Republic was attacked by France, England and three German Bishoprics simultaneously, in what would become known as the Franco-Dutch War . At sea , it could successfully prevent the English and French navies from blockading the western shores. On land, however, it was almost taken over by the advancing French and German armies from the east. It managed to turn the tide by inundating parts of Holland . ] From 1672 to 1712, the Republic, led by William III of Orange and Anthonie Heinsius would regularly clash with France in what some historians have come to call the Forty Years' War . In the Nine Years' War and the War of the Spanish Succession , the Republic was at the centre of anti-French coalitions. The Dutch ultimately successfully defended the Spanish Netherlands , established a barrier there, and their troops proved central to the alliance which halted French territorial expansion in Europe until a new cycle began in 1792 with the French Revolutionary Wars . ] However, the wars left them effectively bankrupt, and inflicted permanent damage on the Dutch merchant navy; while they remained the dominant economic power in the Far East, Britain took over as the pre-eminent global commercial and maritime power. ] Between 1590 and 1713, the United Provinces consistently possessed one of Europe's largest and most capable armies. However, following the conclusion of the War of the Spanish Succession , other major powers such as Prussia, Austria, Britain, and Russia significantly expanded their military forces. The Republic struggled to match these developments, and gradually assumed the status of a mid-tier power. However, historians have sometimes overstated the extent of this decline, especially when considering the period up to the
these developments, and gradually assumed the status of a mid-tier power. However, historians have sometimes overstated the extent of this decline, especially when considering the period up to the 1750s. ] In the 18th century the Dutch Republic had seen a state of a general decline, with economic competition from England and long-standing rivalries between the two main factions in Dutch society, the republican Staatsgezinden and the supporters of the stadtholder the Prinsgezinden as main political factions. ] With the armed support of revolutionary France , Dutch republicans proclaimed the Batavian Republic , modelled after the French Republic and rendering the Netherlands a unitary state on 19 January 1795. The stadtholder William V of Orange had fled to England. From 1806 to 1810, the Kingdom of Holland was set up by [Nap
Dienst Wegverkeer , commonly known as RDW , ] is the organization that handles the type-approval and registration of motorized vehicles and driving licences in the Netherlands . ] ] This is not limited to passenger cars, but also includes trucks, tractors, bicycles, scooters, drones and more. The RDW is an independent administrative body of the Dutch government . Up until 1996, ] the organisation was known as " Rijksdienst voor het Wegverkeer ". The official English name of RDW is: the Netherlands Vehicle Authority . ] Since 2019, the RDW organizes the Self Driving Challenge nl ] , a nation-wide event of competition between students of different universities to develop software for electric karts to autonomously drive and race each other on real-life racetracks. The RDW is responsible for four different subjects in the Netherlands: ] The RDW is authorized for conducting Motor vehicle type approvals for the entire European Union, and is often chosen by foreign car manufacturers and brand due to a lack of competition from Dutch automobile manufacturers. The RDW is responsible for supervising Dutch RDW-approved garages and repair-shops for road-legal vehicles. Moreover, the RDW maintains registration of vehicles and the annual vehicle state inspection called " APK ". While these inspections and repairs can be conducted by privately-owned companies, these companies have to be registered with the RDW and the RDW frequently visits and samples the performance, integrity and reliability of the companies, issuing punishments for companies that are found to fraud with approvals. The RDW keeps multiple public databases ] available in regard to public parking, vehicle safety, registration and APK-history among other data and informs the public about current developments in the automotive sector. Furthermore, the RDW advises the government in law-making. In the Netherlands, driving licences can be acquired by graduating exams at the Centraal Bureau Rijvaardigheid (Central Bureau of Driving Skills) and requesting such cards at the municipality office of the citizen applying. The RDW is responsible for producing and issuing the physical card that individuals receive, which is also valid as personal identification in the Netherlands. The RDW has two foreign offices, one in Detroit , Michigan , United States and one in Seoul , South Korea . ]
in ASEAN (dark grey) – Legend ] Indonesia , ] officially the Republic of Indonesia , ] is a country in Southeast Asia and Oceania , between the Indian and Pacific oceans. It consists of over 17,000 islands , including Sumatra , Java , Sulawesi , and parts of Borneo and New Guinea . Indonesia is the world's largest archipelagic state and the 14th-largest country by area , at 1,904,569 square kilometres (735,358 square miles). With over 280 million people, Indonesia is the world's fourth-most-populous country and the most populous Muslim-majority country . Java, the world's most populous island , is home to more than half of the country's population. Indonesia is a presidential republic with an elected legislature . It has 38 provinces , of which nine have special autonomous status . The country's largest city, Jakarta , is the world's second-most-populous urban area . Indonesia shares land borders with Papua New Guinea , East Timor , and the eastern part of Malaysia , as well as maritime borders with Singapore , Peninsula Malaysia , Vietnam , Thailand , the Philippines , Australia , Palau , and India . Despite its large population and densely populated regions, Indonesia has vast areas of wilderness that support one of the world's highest levels of biodiversity . The Indonesian archipelago has been a valuable region for trade since at least the seventh century when Sumatra's Srivijaya and later Java's Majapahit kingdoms engaged in commerce with entities from mainland China and the Indian subcontinent . Over the centuries, local rulers assimilated foreign influences, leading to the flourishing of Hindu and Buddhist kingdoms. Sunni traders and Sufi scholars later brought Islam , and European powers fought one another to monopolise trade in the Spice Islands of Maluku during the Age of Discovery . Following three and a half centuries of Dutch colonialism , Indonesia secured its independence after World War II . Indonesia's history has since been turbulent, with challenges posed by natural disasters, corruption, separatism, a democratisation process, and periods of rapid economic growth. Indonesia consists of thousands of distinct native ethnic and hundreds of linguistic groups, with Javanese being the largest. A shared identity has developed with the motto " Bhinneka Tunggal Ika " ("Unity in Diversity" literally , "many, yet one"), defined by a national language , cultural diversity, religious pluralism within a Muslim-majority population, and a history of colonialism and rebellion against it. The economy of Indonesia is the world's 16th-largest by nominal GDP and the 7th-largest by PPP . It is the world's third-largest democracy, a regional power , and is considered a middle power in global affairs. The country is a member of several multilateral organisations, including the United Nations, World Trade Organization , G20 , and a founding member of the Non-Aligned Movement , Association of Southeast Asian Nations , East Asia Summit , D-8 , APEC , and
including the United Nations, World Trade Organization , G20 , and a founding member of the Non-Aligned Movement , Association of Southeast Asian Nations , East Asia Summit , D-8 , APEC , and the Organisation of Islamic Cooperation . The name Indonesia derives from the Greek words Indos ( Ἰνδός ) and nesos ( νῆσος ), meaning "Indian islands". ] The name dates back to the 19th century, far predating the formation of independent Indonesia. In 1850, George Windsor Earl , an English ethnologist , proposed the terms Indunesians —and, his preference, Malayunesians —for the inhabitants of the "Indian Archipelago or Malay Archipelago ". ] ] In the same publication, one of his students, James Richardson Logan , used Indonesia as a synonym for Indian Archipelago . ] ] Dutch academics writing in East Indies publications were reluctant to use Indonesia . They preferred Malay Archipelago ( Dutch : Maleische Archipel ); the Netherlands East Indies ( Nederlandsch Oost Indië ), popularly Indië ; the East ( de Oost ); and Insulinde . ] After 1900, Indonesia became more common in academic circles outside the Netherlands, and native nationalist groups adopted it for political expression. ] Adolf Bastian of the University of Berlin popularized the name through his book Indonesien oder die Inseln des Malayischen Archipels, 1884–1894 . The first native scholar to use the name was Ki Hajar Dewantara when in 1913, he established a press bureau in the Netherlands, Indonesisch Pers-bureau . ] Fossilised remains of Homo erectus , popularly known as the " Java Man ", suggest the Indonesian archipelago was inhabited two million to 500,000 years ago. ] ] ] Homo sapiens reached the region around 43,000 BCE. ] Austronesian peoples , who form the majority of the modern population, migrated to Southeast Asia from what is now Taiwan. They arrived in the archipelago around 2,000 BCE and confined the native Melanesians to the far eastern regions as they spread east. ] Ideal agricultural conditions and the mastering of wet-field rice cultivation as early as the eighth century BCE ] allowed villages, towns, and small kingdoms to flourish by the first century CE. The archipelago's strategic sea-lane position fostered inter-island and international trade, including with Indian kingdoms and Chinese dynasties, from several centuries BCE. ] Trade has since fundamentally shaped Indonesian history. ] ] From the seventh century CE, the Srivijaya naval kingdom flourished due to trade and the influences of Hinduism and Buddhism . ] ] Between the eighth and tenth centuries CE, the agricultural Buddhist Sailendra and Hindu Mataram dynasties thrived and declined in inland Java, leaving grand religious monuments such as Sailendra's Borobudur and Mataram's Prambanan . The Hindu Majapahit kingdom was founded in eastern Java in the late 13th century, and under Gajah Mada , its influence stretched over much of present-day Indonesia. This period is often referred to as the "Golden Age" in Indonesian
founded in eastern Java in the late 13th century, and under Gajah Mada , its influence stretched over much of present-day Indonesia. This period is often referred to as the "Golden Age" in Indonesian history. ] The earliest evidence of Islamized populations in the archipelago dates to the 13th century in northern Sumatra . ] Other parts of the archipelago gradually adopted Islam, and it was the dominant religion in Java and Sumatra by the end of the 16th century. For the most part, Islam overlaid and mixed with existing cultural and religious influences, which shaped the predominant form of Islam in Indonesia, particularly in Java. ] The first Europeans arrived in the archipelago in 1512, when Portuguese traders, led by Francisco Serrão , sought to monopolise the sources of nutmeg , cloves , and cubeb pepper in the Maluku Islands . ] Dutch and British traders followed. In 1602, the Dutch established the Dutch East India Company ( Verenigde Oostindische Compagnie ; VOC) and became the dominant European power for almost 200 years. The VOC was dissolved in 1799 following bankruptcy, and the Netherlands established the Dutch East Indies as a nationalised colony. ] For most of the colonial period , Dutch control over the archipelago was tenuous. Dutch forces were engaged continuously in quelling rebellions on and off Java. The influence of local leaders such as Prince Diponegoro in central Java, Imam Bonjol in central Sumatra, Pattimura in Maluku , and the bloody thirty-year Aceh War weakened the Dutch and tied up the colonial military forces. ] ] ] Only in the early 20th century did Dutch dominance extend to what was to become Indonesia's current boundaries. ] ] ] ] During World War II, the Japanese invasion and occupation ended Dutch rule ] ] ] and encouraged the independence movement. ] Two days after the surrender of Japan in August 1945, influential nationalist leaders Sukarno and Mohammad Hatta issued the Proclamation of Indonesian Independence . Sukarno, Hatta and Sutan Sjahrir , were appointed president, vice-president and prime minister, respectively. ] ] ] ] The Netherlands attempted to re-establish their rule, beginning the Indonesian National Revolution which ended in December 1949 when the Dutch recognised Indonesian independence in the face of international pressure. ] ] Despite extraordinary political, social, and sectarian divisions, Indonesians, on the whole, found unity in their fight for independence. ] ] As president, Sukarno moved Indonesia from democracy towards authoritarianism and maintained power by balancing the opposing forces of the military , political Islam, and the increasingly powerful Communist Party of Indonesia (PKI). ] Tensions between the military and the PKI culminated in an attempted coup in 1965. The army, led by Major General Suharto , countered by instigating a violent anti-communist purge that killed between 500,000 and one million people and incarcerated roughly a million more in concentration camps . ] ] ]
General Suharto , countered by instigating a violent anti-communist purge that killed between 500,000 and one million people and incarcerated roughly a million more in concentration camps . ] ] ] ] The PKI was blamed for the coup and effectively destroyed. ] ] ] Suharto capitalised on Sukarno's weakened position, and following a drawn-out power play with Sukarno , Suharto was appointed president in March 1968. His US-backed "New Order" administration ] ] ] ] encouraged foreign direct investment , ] ] ] which was a crucial factor in the subsequent three decades of substantial economic growth. Indonesia was the country hardest hit by the 1997 Asian financial crisis . ] It brought out popular discontent with the New Order's corruption and suppression of political opposition and ultimately ended Suharto's presidency. ] ] ] ] In 1999, East Timor seceded from Indonesia, following its 1975 invasion by Indonesia ] and a 25-year occupation marked by international condemnation of human rights abuses . ] Since 1998, democratic processes have been strengthened by enhancing regional autonomy and instituting the country's first direct presidential election in 2004 . ] Political, economic and social instability, corruption, and instances of terrorism remained problems in the 2000s; however, the economy has performed strongly since 2007. Although relations among the diverse population are mostly harmonious, acute sectarian discontent and violence remain problematic in some areas. ] A political settlement to an armed separatist conflict in Aceh was achieved in 2005. ] Indonesia is the southernmost country in Asia. The country lies between latitudes 11°S and 6°N and longitudes 95°E and 141°E . A transcontinental country spanning Southeast Asia and Oceania, it is the world's largest archipelagic state , extending 5,120 kilometres (3,181 mi) from east to west and 1,760 kilometres (1,094 mi) from north to south. ] The country's Coordinating Ministry for Maritime and Investments Affairs says Indonesia has 17,504 islands (with 16,056 registered at the UN) ] scattered over both sides of the equator, around 6,000 of which are inhabited. ] The largest are Sumatra , Java , Borneo (shared with Brunei and Malaysia), Sulawesi , and New Guinea (shared with Papua New Guinea). ] Indonesia shares land borders with Malaysia on Borneo and Sebatik , Papua New Guinea on the island of New Guinea, East Timor on the island of Timor , and maritime borders with Singapore, Malaysia, Vietnam, the Philippines, Palau, and Australia. At 4,884 metres (16,024 ft), Puncak Jaya is Indonesia's highest peak, and Lake Toba in Sumatra is the largest lake, with an area of 1,145 km 2 (442 sq mi). Indonesia's largest rivers are in Kalimantan and New Guinea and include Kapuas , Barito , Mamberamo , Sepik and Mahakam . They serve as communication and transport links between the island's river settlements. ] Indonesia lies along the equator, and its climate tends to be relatively even year-round. ]
and Mahakam . They serve as communication and transport links between the island's river settlements. ] Indonesia lies along the equator, and its climate tends to be relatively even year-round. ] Indonesia has two seasons—a dry season and a wet season —with no extremes of summer or winter. ] For most parts of Indonesia, the dry season falls between May and October, while the wet season falls between November and April. ] Indonesia's climate is almost entirely tropical , dominated by the tropical rainforest climate found on every large island of Indonesia. Cooler climate types exist in mountainous regions that are 1,300 to 1,500 metres (4,300 to 4,900 feet) above sea level. The oceanic climate (Köppen Cfb ) prevails in highland areas adjacent to rainforest climates, with uniform precipitation year-round. In highland areas near the tropical monsoon and tropical savanna climates , the subtropical highland climate (Köppen Cwb ) is more pronounced during dry season. ] Some regions, such as Kalimantan and Sumatra , experience only slight differences in rainfall and temperature between the seasons, whereas others, such as Nusa Tenggara, experience far more pronounced differences with droughts in the dry season and floods in the wet season. Rainfall varies across regions, with more in western Sumatra, Java, and the interiors of Kalimantan and Papua, and less in areas closer to Australia, such as Nusa Tenggara, which tends to be relatively dry. The almost uniformly warm waters that constitute 81% of Indonesia's area ensure that land temperatures remain relatively constant. Humidity is quite high, at between 70 and 90%. Winds are moderate and generally predictable, with monsoons usually blowing in from the south and east in May through October and from the north and west in November through April. Typhoons and large-scale storms pose little hazard to mariners; significant dangers come from swift currents in channels, such as the Lombok and Sape straits. ] Several studies consider Indonesia to be at severe risk from the projected effects of climate change . ] These include unreduced emissions resulting in an average temperature rise of around 1 °C (2 °F) by mid-century, ] ] raising the frequency of drought and food shortages (with an impact on precipitation and the patterns of wet and dry seasons, and thus Indonesia's agriculture system ] ) as well as numerous diseases and wildfires. ] Rising sea levels would also threaten most of Indonesia's population, who live in low-lying coastal areas. ] ] ] Impoverished communities would likely be affected the most by climate change. ] Tectonically , most of Indonesia's area is highly unstable, making it a site of numerous volcanoes and frequent earthquakes. ] It lies on the Pacific Ring of Fire , where the Indo-Australian Plate and the Pacific Plate are pushed under the Eurasian Plate , where they melt at about 100 kilometres (62 miles) deep. A string of volcanoes runs through Sumatra, Java , Bali and Nusa Tenggara
Plate and the Pacific Plate are pushed under the Eurasian Plate , where they melt at about 100 kilometres (62 miles) deep. A string of volcanoes runs through Sumatra, Java , Bali and Nusa Tenggara , and then to the Banda Islands of Maluku to northeastern Sulawesi . ] Of the 400 volcanoes, around 130 are active. ] Between 1972 and 1991, there were 29 volcanic eruptions, mostly on Java. ] Volcanic ash has made agricultural conditions unpredictable in some areas. ] However, it has also resulted in fertile soils, a factor in historically sustaining the high population densities of Java and Bali. ] A massive supervolcano erupted at present-day Lake Toba around 70,000 BCE. It is believed to have caused a global volcanic winter and cooling of the climate and subsequently led to a genetic bottleneck in human evolution, though this is still in debate. ] The 1815 eruption of Mount Tambora and the 1883 eruption of Krakatoa were among the largest in recorded history. The former caused 92,000 deaths and created an umbrella of volcanic ash that spread and blanketed parts of the archipelago and made much of the Northern Hemisphere without summer in 1816 . ] The latter produced the loudest sound in recorded history and caused 36,000 deaths due to the eruption itself and the resulting tsunamis, with significant additional effects around the world years after the event. ] Recent catastrophic disasters due to seismic activity include the 2004 Indian Ocean earthquake and the 2006 Yogyakarta earthquake . Indonesia's size, tropical climate, and archipelagic geography support one of the world's highest levels of biodiversity , and it is among the 17 megadiverse countries identified by Conservation International . Its flora and fauna are a mixture of Asian and Australasian species. ] ] The Sunda Shelf islands (Sumatra, Java, Borneo, and Bali) were once linked to mainland Asia and have a wealth of Asian fauna. Large species such as the Sumatran tiger , rhinoceros, orangutan, Asian elephant , and leopard were once abundant as far east as Bali, but numbers and distribution have dwindled drastically. Having been long separated from the continental landmasses, Sulawesi, Nusa Tenggara, and Maluku have developed their unique flora and fauna. ] ] Papua was part of the Australian landmass and is home to a unique fauna and flora closely related to that of Australia, including over 600 bird species. ] Indonesia is second only to Australia in terms of total endemic species, with 36% of its 1,531 species of bird and 39% of its 515 species of mammal being endemic. ] Indonesia harbours 83% of Southeast Asia's old-growth forest , and the highest amount of forest carbon in the region. ] Tropical seas surround Indonesia's 80,000 kilometres (50,000 miles) of coastline. The country has a range of sea and coastal ecosystems, including beaches , dunes, estuaries, mangroves, coral reefs, seagrass beds, coastal mudflats, tidal flats, algal beds, and small island ecosystems. ] Indonesia is one
of sea and coastal ecosystems, including beaches , dunes, estuaries, mangroves, coral reefs, seagrass beds, coastal mudflats, tidal flats, algal beds, and small island ecosystems. ] Indonesia is one of the Coral Triangle countries with the world's most enormous diversity of coral reef fish , with more than 1,650 species in eastern Indonesia only. ] British naturalist Alfred Russel Wallace described a dividing line ( Wallace Line ) between the distribution of Indonesia's Asian and Australasian species. ] It runs roughly north–south along the edge of the Sunda Shelf, between Kalimantan and Sulawesi, and along the deep Lombok Strait , between Lombok and Bali. Flora and fauna on the west of the line are generally Asian, while east from Lombok is increasingly Australian until the tipping point at the Weber Line . In his 1869 book, The Malay Archipelago , Wallace described numerous species unique to the area. ] The region of islands between his line and New Guinea is now termed Wallacea . ] Indonesia's large and growing population and rapid industrialisation present serious environmental issues . They are often given a lower priority due to high poverty levels and weak, under-resourced governance. ] Problems include the destruction of peatlands, large-scale illegal deforestation (causing extensive haze across parts of Southeast Asia ), over-exploitation of marine resources, air pollution, garbage management, and reliable water and wastewater services . ] These issues contribute to Indonesia's low ranking (number 116 out of 180 countries) in the 2020 Environmental Performance Index . The report also indicates that Indonesia's performance is generally below average in both regional and global context. ] Indonesia has one of the world's fastest deforestation rates. ] ] In 2020, forests covered approximately 49.1% of the country's land area, ] down from 87% in 1950. ] Since the 1970s, log production, various plantations and agriculture have been responsible for much of the deforestation in Indonesia . ] Most recently, it has been driven by the palm oil industry, ] which has been criticised for its environmental impact and displacement of local communities. ] ] The situation has made Indonesia the world's largest forest-based emitter of greenhouse gases. ] It also threatens the survival of indigenous and endemic species. The International Union for Conservation of Nature (IUCN) identified 140 species of mammals as threatened and 15 as critically endangered, including the Bali myna , ] Sumatran orangutan , ] and Javan rhinoceros . ] Some academics describe the deforestation and other environmental destruction in the country as an ecocide . ] ] ] Indonesia is a republic with a presidential system. Following the fall of the New Order in 1998, political and governmental structures have undergone sweeping reforms, with four constitutional amendments revamping the executive, legislative and judicial branches. ] Chief among them is the delegation of power and
structures have undergone sweeping reforms, with four constitutional amendments revamping the executive, legislative and judicial branches. ] Chief among them is the delegation of power and authority to various regional entities while remaining a unitary state . ] The President of Indonesia is the head of state and head of government , commander-in-chief of the Indonesian National Armed Forces ( Tentara Nasional Indonesia , TNI), and the director of domestic governance, policy-making, and foreign affairs. The president may serve a maximum of two consecutive five-year terms. ] The highest representative body at the national level is the People's Consultative Assembly ( Majelis Permusyawaratan Rakyat , MPR). Its main functions are supporting and amending the constitution, inaugurating and impeaching the president, ] ] and formalising broad outlines of state policy. The MPR comprises two houses; the People's Representative Council ( Dewan Perwakilan Rakyat , DPR), with 575 members, and the Regional Representative Council ( Dewan Perwakilan Daerah , DPD), with 136. ] The DPR passes legislation and monitors the executive branch. Reforms since 1998 have markedly increased its role in national governance, ] while the DPD is a new chamber for matters of regional management. ] ] Most civil disputes appear before the State Court ( Pengadilan Negeri ); appeals are heard before the High Court ( Pengadilan Tinggi ). The Supreme Court of Indonesia ( Mahkamah Agung ) is the highest level of the judicial branch and hears final cessation appeals and conducts case reviews. Other courts include the Constitutional Court ( Mahkamah Konstitusi ) which listens to constitutional and political matters, and the Religious Court ( Pengadilan Agama ), which deals with codified Islamic Personal Law ( sharia ) cases. ] Additionally, the Judicial Commission ( Komisi Yudisial ) monitors the performance of judges. ] Since 1999, Indonesia has had a multi-party system. In all legislative elections since the fall of the New Order , no political party has won an overall majority of seats. The Indonesian Democratic Party of Struggle (PDI-P), which secured the most votes in the 2019 elections , is the party of the incumbent president, Joko Widodo . ] Other notable parties include the Party of the Functional Groups ( Golkar ), the Great Indonesia Movement Party ( Gerindra ), the Democratic Party , and the Prosperous Justice Party (PKS). The first general election was held in 1955 to elect members of the DPR and the Constitutional Assembly ( Konstituante ). The most recent elections in 2019 resulted in nine political parties in the DPR, with a parliamentary threshold of 4% of the national vote. ] At the national level, Indonesians did not elect a president until 2004. Since then, the president is elected for a five-year term, as are the party-aligned members of the DPR and the non-partisan DPD. ] ] Beginning with the 2015 local elections , elections for governors and mayors have
president is elected for a five-year term, as are the party-aligned members of the DPR and the non-partisan DPD. ] ] Beginning with the 2015 local elections , elections for governors and mayors have occurred on the same date. In 2014, the Constitutional Court ruled that legislative and presidential elections would be held simultaneously, starting in 2019. ] Indonesia has several levels of subdivisions. The first level are the provinces , which have a legislature ( Dewan Perwakilan Rakyat Daerah , DPRD) and an elected governor . A total of 38 provinces have been established from the original eight in 1945, ] the most recent change being the split of Southwest Papua from the province of West Papua in 2022. ] The second level are the regencies ( kabupaten ) and cities ( kota ), led by regents ( bupati ) and mayors ( walikota ) respectively and a legislature ( DPRD Kabupaten/Kota ). The third level are the districts ( kecamatan , distrik in Papua , or kapanewon and kemantren in Yogyakarta ), and the fourth are the villages (either desa , kelurahan , kampung , nagari in West Sumatra , or gampong in Aceh ). ] The village is the lowest level of government administration. It is divided into several community groups ( rukun warga , RW), which are further divided into neighbourhood groups ( rukun tetangga , RT). In Java, the village ( desa ) is divided into smaller units called dusun or dukuh (hamlets), which are the same as RW. Following the implementation of regional autonomy measures in 2001, regencies and cities have become chief administrative units responsible for providing most government services. The village administration level is the most influential on a citizen's daily life and handles village or neighbourhood matters through an elected village head ( lurah or kepala desa ). ] Nine provinces—Aceh, Jakarta, Yogyakarta, Papua , Central Papua , Highland Papua , South Papua , Southwest Papua and West Papua —are granted a special autonomous status ( otonomi khusus ) from the central government. Aceh, a conservative Islamic territory , has the right to create some aspects of an independent legal system implementing sharia . ] Yogyakarta is the only pre-colonial monarchy legally recognised within Indonesia, with the positions of governor and vice governor being prioritised for the reigning Sultan of Yogyakarta and Duke of Pakualaman , respectively. ] The six Papuan provinces are the only ones where the indigenous people have privileges in their local government. ] Indonesia maintains 132 diplomatic missions abroad, including 95 embassies. ] The country adheres to what it calls a "free and active" foreign policy, seeking a role in regional affairs in proportion to its size and location but avoiding involvement in conflicts among other countries. ] Indonesia was a significant battleground during the Cold War. Numerous attempts by the United States and the Soviet Union , ] ] and China to some degree, ] culminated in the 1965 coup attempt and subsequent
was a significant battleground during the Cold War. Numerous attempts by the United States and the Soviet Union , ] ] and China to some degree, ] culminated in the 1965 coup attempt and subsequent upheaval that led to a reorientation of foreign policy. ] Quiet alignment with the Wes
Indonesian ( Bahasa Indonesia ; ] ) is the official and national language of Indonesia . ] It is a standardized variety of Malay , ] an Austronesian language that has been used as a lingua franca in the multilingual Indonesian archipelago for centuries. With over 280 million inhabitants, ] Indonesia ranks as the fourth most populous nation globally. According to the 2020 census, over 97% of Indonesians are fluent in Indonesian, ] making it the largest language by number of speakers in Southeast Asia and one of the most widely spoken languages in the world. ] Indonesian vocabulary has been influenced by various regional languages such as Javanese , Sundanese , Minangkabau , Balinese , Banjarese , and Buginese , as well as by foreign languages such as Arabic , Dutch , Portuguese , and English . Many borrowed words have been adapted to fit the phonetic and grammatical rules of Indonesian, enriching the language and reflecting Indonesia's diverse linguistic heritage. Most Indonesians, aside from speaking the national language, are fluent in at least one of the more than 700 indigenous local languages ; examples include Javanese and Sundanese , which are commonly used at home and within the local community. ] ] However, most formal education and nearly all national mass media , governance , administration , and judiciary and other forms of communication are conducted in Indonesian. ] Under Indonesian rule from 1976 to 1999, Indonesian was designated as the official language of Timor Leste . It has the status of a working language under the country's constitution along with English . ] ] : 3 ] In November 2023, the Indonesian language was recognized as one of the official languages of the UNESCO General Conference. The term Indonesian is primarily associated with the national standard dialect ( bahasa baku ). ] However, in a looser sense, it also encompasses the various local varieties spoken throughout the Indonesian archipelago. ] ] Standard Indonesian is confined mostly to formal situations, existing in a diglossic relationship with vernacular Malay varieties, which are commonly used for daily communication, coexisting with the aforementioned regional languages and with Malay creoles ; ] ] standard Indonesian is spoken in informal speech as a lingua franca between vernacular Malay dialects, Malay creoles, and regional languages. The Indonesian name for the language ( bahasa Indonesia ) is also occasionally used in English and other languages. Bahasa Indonesia is sometimes improperly reduced to Bahasa , which refers to the Indonesian subject ( Bahasa Indonesia ) taught in schools, on the assumption that this is the name of the language. But the word bahasa only means language. For example, French language is translated as bahasa Prancis , and the same applies to other languages, such as bahasa Inggris (English), bahasa Jepang (Japanese), bahasa Arab (Arabic), bahasa Italia (Italian), and so on. Indonesians generally may not recognize the name Bahasa
to other languages, such as bahasa Inggris (English), bahasa Jepang (Japanese), bahasa Arab (Arabic), bahasa Italia (Italian), and so on. Indonesians generally may not recognize the name Bahasa alone when it refers to their national language. ] Standard Indonesian is a standard language of "Riau Malay", ] ] which despite its common name is not based on the vernacular Malay dialects of the Riau Islands , but rather represents a form of Classical Malay as used in the 19th and early 20th centuries in the Riau-Lingga Sultanate . Classical Malay had emerged as a literary language in the royal courts along both shores of the Strait of Malacca , including the Johor Sultanate and Malacca Sultanate . ] ] ] Originally spoken in Northeast Sumatra , ] Malay has been used as a lingua franca in the Indonesian archipelago for half a millennium. It might be attributed to its ancestor , the Old Malay language (which can be traced back to the 7th century). The Kedukan Bukit Inscription is the oldest surviving specimen of Old Malay, the language used by Srivijayan empire. ] Since the 7th century, the Old Malay language has been used in Nusantara (archipelago) (Indonesian archipelago), evidenced by Srivijaya inscriptions and by other inscriptions from coastal areas of the archipelago, such as Sojomerto inscription . ] Trade contacts carried on by various ethnic peoples at the time were the main vehicle for spreading the Old Malay language, which was the main communications medium among the traders. Ultimately, the Old Malay language became a lingua franca and was spoken widely by most people in the archipelago. ] ] Indonesian (in its standard form) has essentially the same material basis as the Malaysian standard of Malay and is therefore considered to be a variety of the pluricentric Malay language. However, it does differ from Malaysian Malay in several respects, with differences in pronunciation and vocabulary. These differences are due mainly to the Dutch and Javanese influences on Indonesian. Indonesian was also influenced by the Melayu pasar ( lit. ' market Malay ' ), which was the lingua franca of the archipelago in colonial times, and thus indirectly by other spoken languages of the islands. Malaysian Malay claims to be closer to the classical Malay of earlier centuries, even though modern Malaysian has been heavily influenced, in lexicon as well as in syntax, by English. The question of whether High Malay (Court Malay) or Low Malay (Bazaar Malay) was the true parent of the Indonesian language is still in debate. High Malay was the official language used in the court of the Johor Sultanate and continued by the Dutch-administered territory of Riau-Lingga , while Low Malay was commonly used in marketplaces and ports of the archipelago. Some linguists have argued that it was the more common Low Malay that formed the base of the Indonesian language. ] When the Dutch East India Company (VOC) first arrived in the archipelago at the start of the 1600s, the Malay
that it was the more common Low Malay that formed the base of the Indonesian language. ] When the Dutch East India Company (VOC) first arrived in the archipelago at the start of the 1600s, the Malay language was a significant trading and political language due to the influence of the Malaccan Sultanate and later the Portuguese . However, the language had never been dominant among the population of the Indonesian archipelago as it was limited to mercantile activity. The VOC adopted the Malay language as the administrative language of their trading outpost in the east. Following the bankruptcy of the VOC, the Batavian Republic took control of the colony in 1799, and it was only then that education in and promotion of Dutch began in the colony . Even then, Dutch administrators were remarkably reluctant to promote the use of Dutch compared to other colonial regimes. Dutch thus remained the language of a small elite: in 1940, only 2% of the total population could speak Dutch. Nevertheless, it did have a significant influence on the development of Malay in the colony: during the colonial era, the language that would be standardized as Indonesian absorbed a large amount of Dutch vocabulary in the form of loanwords . The nationalist movement that ultimately brought Indonesian to its national language status rejected Dutch from the outset. However, the rapid disappearance of Dutch was a very unusual case compared with other colonized countries, where the colonial language generally has continued to function as the language of politics, bureaucracy , education, technology , and other fields of importance for a significant time after independence. ] The Indonesian scholar Soenjono Dardjowidjojo id ] even goes so far as to say that when compared to the situation in other Asian countries such as India, Malaysia, Singapore and the Philippines, "Indonesian is perhaps the only language that has achieved the status of a national language in its true sense" since it truly dominates in all spheres of Indonesian society . ] The ease with which Indonesia eliminated the language of its former colonial power can perhaps be explained as much by Dutch policy as by Indonesian nationalism. In marked contrast to the French , Spanish and Portuguese, who pursued an assimilation colonial policy, or even the British , the Dutch did not attempt to spread their language among the indigenous population. In fact, they consciously prevented the language from being spread by refusing to provide education, especially in Dutch, to the native Indonesians so they would not come to see themselves as equals. ] Moreover, the Dutch wished to prevent the Indonesians from elevating their perceived social status by taking on elements of Dutch culture. Thus, until the 1930s, they maintained a minimalist regime and allowed Malay to spread quickly throughout the archipelago. Dutch dominance at that time covered nearly all aspects, with official forums requiring the use of Dutch, although since
regime and allowed Malay to spread quickly throughout the archipelago. Dutch dominance at that time covered nearly all aspects, with official forums requiring the use of Dutch, although since the Second Youth Congress (1928) the use of Indonesian as the national language was agreed on as one of the tools in the independence struggle. As of it, Mohammad Hoesni Thamrin inveighed actions underestimating Indonesian. After some criticism and protests, the use of Indonesian was allowed since the Volksraad sessions held in July 1938. ] By the time they tried to counter the spread of Malay by teaching Dutch to the natives, it was too late, and in 1942, the Japanese conquered Indonesia. The Japanese mandated that all official business be conducted in Indonesian and quickly outlawed the use of the Dutch language. ] Three years later, the Indonesians themselves formally abolished the language and established bahasa Indonesia as the national language of the new nation. ] The term bahasa Indonesia itself had been proposed by Mohammad Tabrani in 1926, ] and Tabrani had further proposed the term over calling the language Malay language during the First Youth Congress in 1926. ] .mw-parser-output .templatequote{overflow:hidden;margin:1em 0;padding:0 32px}.mw-parser-output .templatequotecite{line-height:1.5em;text-align:left;margin-top:0}@media(min-width:500px){.mw-parser-output .templatequotecite{padding-left:1.6em}} Indonesian language (old VOS spelling): Jang dinamakan 'Bahasa Indonesia' jaitoe bahasa Melajoe jang soenggoehpoen pokoknja berasal dari 'Melajoe Riaoe' akan tetapi jang soedah ditambah, dioebah ataoe dikoerangi menoeroet keperloean zaman dan alam baharoe, hingga bahasa itoe laloe moedah dipakai oleh rakjat diseloeroeh Indonesia; pembaharoean bahasa Melajoe hingga menjadi bahasa Indonesia itoe haroes dilakoekan oleh kaoem ahli jang beralam baharoe, ialah alam kebangsaan Indonesia Indonesian (modern EYD spelling): Yang dinamakan 'Bahasa Indonesia' yaitu bahasa Melayu yang sungguhpun pokoknya berasal dari 'Melayu Riau' akan tetapi yang sudah ditambah, diubah atau dikurangi menurut keperluan zaman dan alam baru, hingga bahasa itu lalu mudah dipakai oleh rakyat di seluruh Indonesia; pembaharuan bahasa Melayu hingga menjadi bahasa Indonesia itu harus dilakukan oleh kaum ahli yang beralam baru, ialah alam kebangsaan Indonesia English : "What is named as 'Indonesian language' is a true Malay language derived from 'Riau Malay' but which had been added, modified or subscribed according to the requirements of the new age and nature, until it was then used easily by people across Indonesia; the renewal of Malay language until it became Indonesian it had to be done by the experts of the new nature, the national nature of Indonesia" — Ki Hajar Dewantara in the Congress of Indonesian Language I 1938, Solo ] ] Several years prior to the congress, Swiss linguist, Renward Brandstetter wrote An Introduction to Indonesian Linguistics in 4 essays from 1910 to 1915.
of Indonesian Language I 1938, Solo ] ] Several years prior to the congress, Swiss linguist, Renward Brandstetter wrote An Introduction to Indonesian Linguistics in 4 essays from 1910 to 1915. The essays were translated into English in 1916. By "Indonesia", he meant the name of the geographical region , and by "Indonesian languages" he meant Malayo-Polynesian languages west of New Guinea, because by that time there was still no notion of Indonesian language. Sutan Takdir Alisjahbana was a great promoter of the use and development of Indonesian and he was greatly exaggerating the decline of Dutch. Higher education was still in Dutch and many educated Indonesians were writing and speaking in Dutch in many situations (and were still doing so well after independence was achieved). He believed passionately in the need to develop Indonesian so that it could take its place as a fully adequate national language, able to replace Dutch as a means of entry into modern international culture. In 1933, he began the magazine Pujangga Baru (New Writer — Poedjangga Baroe in the original spelling) with co-editors Amir Hamzah and Armijn Pane. The language of Pujangga Baru came in for criticism from those associated with the more classical School Malay and it was accused of publishing Dutch written with an Indonesian vocabulary. Alisjahbana would no doubt have taken the criticism as a demonstration of his success. To him the language of Pujangga Baru pointed the way to the future, to an elaborated, Westernised language able to express all the concepts of the modern world. As an example, among the many innovations they condemned was use of the word bisa instead of dapat for 'can'. In Malay bisa meant only 'poison from an animal's bite' and the increasing use of Javanese bisa in the new meaning they regarded as one of the many threats to the language's purity. Unlike more traditional intellectuals, he did not look to Classical Malay and the past. For him, Indonesian was a new concept; a new beginning was needed and he looked to Western civilisation, with its dynamic society of individuals freed from traditional fetters, as his inspiration. ] The prohibition on use of Dutch led to an expansion of Indonesian language newspapers and pressure on them to increase the language's wordstock. The Japanese agreed to the establishment of the Komisi Bahasa (Language Commission) in October 1942, formally headed by three Japanese but with a number of prominent Indonesian intellectuals playing the major part in its activities. Soewandi, later to be Minister of Education and Culture, was appointed secretary, Alisjahbana was appointed an 'expert secretary' and other members included the future president and vice-president, Sukarno and Hatta. Journalists, beginning a practice that has continued to the present, did not wait for the Komisi Bahasa to provide new words, but actively participated themselves in coining terms. Many of the Komisi Bahasa's terms never found public acceptance
to the present, did not wait for the Komisi Bahasa to provide new words, but actively participated themselves in coining terms. Many of the Komisi Bahasa's terms never found public acceptance and after the Japanese period were replaced by the original Dutch forms, including jantera (Sanskrit for 'wheel'), which temporarily replaced mesin (machine), ketua negara (literally 'chairman of state'), which had replaced presiden (president) and kilang (meaning 'mill'), which had replaced pabrik (factory). In a few cases, however, coinings permanently replaced earlier Dutch terms, including pajak (earlier meaning 'monopoly') instead of belasting (tax) and senam (meaning 'exercise') instead of gimnastik (gymnastics). The Komisi Bahasa is said to have coined more than 7000 terms, although few of these gained common acceptance. ] The adoption of Indonesian as the country's national language was in contrast to most other post-colonial states. Neither the language with the most native speakers (Javanese) nor the language of the former European colonial power (Dutch) was to be adopted. Instead, a local language with far fewer native speakers than the most widely spoken local language was chosen (nevertheless, Malay was the second most widely spoken language in the colony after Javanese, and had many L2 speakers using it for trade, administration, and education). In 1945, when Indonesia declared its independence, Indonesian was formally declared the national language, ] despite being the native language of only about 5% of the population. In contrast, Javanese and Sundanese were the mother tongues of 42–48% and 15% respectively. ] The combination of nationalistic , political , and practical concerns ultimately led to the successful adoption of Indonesian as a national language. In 1945, Javanese was easily the most prominent language in Indonesia. It was the native language of nearly half the population, the primary language of politics and economics , and the language of courtly , religious , and literary tradition. ] What it lacked, however, was the ability to unite the diverse Indonesian population as a whole. With thousands of islands and hundreds of different languages, the newly independent country of Indonesia had to find a national language that could realistically be spoken by the majority of the population and that would not divide the nation by favouring one ethnic group, namely the Javanese, over the others. In 1945, Indonesian was already in widespread use; ] in fact, it had been for roughly a thousand years. Over that long period, Malay, which would later become standardized as Indonesian, was the primary language of commerce and travel . It was also the language used for the propagation of Islam in the 13th to 17th centuries, as well as the language of instruction used by Portuguese and Dutch missionaries attempting to convert the indigenous people to Christianity . ] The combination of these factors meant that the language was already known to
of instruction used by Portuguese and Dutch missionaries attempting to convert the indigenous people to Christianity . ] The combination of these factors meant that the language was already known to some degree by most of the population, and it could be more easily adopted as the national language than perhaps any other. Moreover, it was the language of the sultanate of Brunei and of future Malaysia , on which some Indonesian nationalists had claims . Over the first 53 years of Indonesian independence , the country's first two presidents, Sukarno and Suharto constantly nurtured the sense of national unity embodied by Indonesian, and the language remains an essential component of Indonesian identity. Through a language planning program that made Indonesian the language of politics , education , and nation-building in general, Indonesian became one of the few success stories of an indigenous language effectively overtaking that of a country's colonisers to become the de jure and de facto official language. ] Today, Indonesian continues to function as the language of national identity as the Congress of Indonesian Youth envisioned, and also serves as the language of education, literacy , modernization , and social mobility . ] Despite still being a second language to most Indonesians, it is unquestionably the language of the Indonesian nation as a whole, as it has had unrivalled success as a factor in nation-building and the strengthening of Indonesian identity. Indonesian is spoken as a mother tongue and national language. Over 200 million people regularly make use of the national language, with varying degrees of proficiency. In a nation that is home to more than 700 native languages and a vast array of ethnic groups, it plays an important unifying and cross-archipelagic role for the country. Use of the national language is abundant in the media, government bodies, schools , universities , workplaces , among members of the upper-class or nobility and also in formal situations, despite the 2010 census showing only 19.94% of over-five-year-olds speak mainly Indonesian at home. ] Standard Indonesian is used in books and newspapers and on television/radio news broadcasts. The standard dialect, however, is rarely used in daily conversations, being confined mostly to formal settings. While this is a phenomenon common to most languages in the world (for example, spoken English does not always correspond to its written standards), the proximity of spoken Indonesian (in terms of grammar and vocabulary) to its normative form is noticeably low. This is mostly due to Indonesians combining aspects of their own local languages (e.g., Javanese , Sundanese , and Balinese ) with Indonesian. This results in various vernacular varieties of Indonesian, the very types that a foreigner is most likely to hear upon arriving in any Indonesian city or town. ] This phenomenon is amplified by the use of Indonesian slang , particularly in the cities. Unlike the relatively
that a foreigner is most likely to hear upon arriving in any Indonesian city or town. ] This phenomenon is amplified by the use of Indonesian slang , particularly in the cities. Unlike the relatively uniform standard variety, Vernacular Indonesian exhibits a high degree of geographical variation, though Colloquial Jakartan Indonesian functions as the de facto norm of informal language and is a popular source of influence throughout the archipelago. ] There is language shift of first language among Indonesian into Indonesian from other language in Indonesia caused by ethnic diversity than urbanicity. ] The most common and widely used colloquial Indonesian is heavily influenced by the Betawi language , a Malay-based creole of Jakarta , amplified by its popularity in Indonesian popular culture in mass media and Jakarta's status as the national capital. In informal spoken Indonesian, various words are replaced with those of a less formal nature. For example, tidak (no) is often replaced with the Betawi form nggak or the even simpler gakeo/ . In informal writing, the spelling of words is modified to reflect the actual pronunciation in a way that can be produced with less effort. For example, capai becomes cape or capek , pakai becomes pake , kalau becomes kalo . In verbs, the prefix me- is often dropped, although an initial nasal consonant is often retained, as when mengangkat becomes ngangkat (the basic word is angkat ). The suffixes -kan and -i are often replaced by -in . For example, mencarikan becomes nyariin , menuruti becomes nurutin . The latter grammatical aspect is one often closely related to the Indonesian spoken in Jakarta and its surrounding areas. Malay historical linguists agree on the likelihood of the Malay homeland being in western Borneo stretching to the Bruneian coast. ] A form known as Proto-Malay language was spoken in Borneo at least by 1000 BCE and was, it has been argued, the ancestral language of all subsequent Malayan languages . Its ancestor, Proto-Malayo-Polynesian , a descendant of the Proto-Austronesian language , began to break up by at least 2000 BCE, possibly as a result of the southward expansion of Austronesian peoples into Maritime Southeast Asia from the island of Taiwan . ] Indonesian, which originated from Malay, is a member of the Austronesian family of languages, which includes languages from Southeast Asia , the Pacific Ocean and Madagascar , with a smaller number in continental Asia . It has a degree of mutual intelligibility with the Malaysian standard of Malay, which is officially known there as bahasa Malaysia , despite the numerous lexical differences. ] However, vernacular varieties spoken in Indonesia and Malaysia share limited intelligibility, which is evidenced by the fact that Malaysians have difficulties understanding Indonesian sinetron (soap opera) aired on Malaysia TV stations, and vice versa. ] Malagasy , a geographic outlier spoken in Madagascar in the Indian Ocean ; the Philippines national
understanding Indonesian sinetron (soap opera) aired on Malaysia TV stations, and vice versa. ] Malagasy , a geographic outlier spoken in Madagascar in the Indian Ocean ; the Philippines national language, Filipino ; Formosan in Taiwan's aboriginal population; and the native Māori language of New Zealand are also members of this language family. Although each language of the family is mutually unintelligible, their similarities are rather striking. Many roots have come virtually unchanged from their common ancestor, Proto-Austronesian language . There are many cognates found in the languages' words for kinship, health, body parts and common animals. Numbers, especially, show remarkable similarities. There are more than 700 local languages in Indonesian islands, such as Javanese , Sundanese , etc. While Malay as the source of Indonesian is the mother tongue of ethnic Malay who lives along the east coast of Sumatra, in the Riau Archipelago, and on the south and west coast of Kalimantan (Borneo). There are several areas, such as Jakarta, Manado, Lesser Sunda islands, and Mollucas which has Malay-based trade languages. Thus, a large proportion of Indonesian, at least, use two language daily, those are Indonesian and local languages. When two languages are used by the same people in this way, they are likely to influence each other. ] Aside from local languages, Dutch made the highest contribution to the Indonesian vocabulary, due to the Dutch colonization over three centuries, from the 16th century until the mid-20th century. ] ] ] Asian languages also influenced the language, with Chinese influencing Indonesian during the 15th and 16th centuries due to the spice trade ; Sanskrit , Tamil , Prakrit and Hindi contributing during the flourishing of Hindu and Buddhist kingdoms from the 2nd to the 14th century; followed by Arabic after the spread of Islam in the archipelago in the 13th century. ] Loanwords from Portuguese were mainly connected with articles that the early European traders and explorers brought to Southeast Asia. Indonesian also receives many English words as a result of globalization and modernization , especially since the 1990s, as far as the Internet's emergence and development until the present day. ] Some Indonesian words correspond to Malay loanwords in English, among them the common words orangutan , gong , bamboo , rattan , sarong , and the less common words such as paddy , sago and kapok , all of which were inherited in Indonesian from Malay but borrowed from Malay in English. The phrase "to run amok" comes from the Malay verb amuk (to run out of control, to rage). ] ] ] ] Indonesian is neither a pidgin nor a creole since its characteristics do not meet any of the criteria for either. It is believed that the Indonesian language was one of the means to achieve independence, but it is opened to receive vocabulary from other foreign languages aside from Malay that it has made contact with since the colonialism era, such as Dutch,
one of the means to achieve independence, but it is opened to receive vocabulary from other foreign languages aside from Malay that it has made contact with since the colonialism era, such as Dutch, English and Arabic among others, as the loan words keep increasing each year. ] In 2020, Indonesian had 71.9 million native speakers and 176.5 million second-language speakers, ] who speak it alongside their local mother tongue , giving a total number of speakers in Indonesia of 248.5 million. ] It is common as a first language in urban areas, and as a second language by those residing in more rural parts of Indonesia. The VOA and BBC use Indonesian as their standard for broadcasting in Malay. ] ] In Australia , Indonesian is one of three Asian target languages, together with Japanese and Mandarin , taught in some schools as part of the Languages Other Than English programme. ] Indonesian has been taught in Australian schools and universities since the 1950s. ] In East Timor , which was occupied by Indonesia between 1975 and 1999, Indonesian is recognized by the constitution as one of the two working languages (the other being English ), alongside the official languages of Tetum and Portuguese . ] It is understood by the Malay people of Australia's Cocos Keeling Islands in the Indian Ocean , also in some parts of the Sulu area of the southern Philippines and traces of it are to be found among people of Malay descent in Sri Lanka , South Africa , and other places. ] Indonesian is taught as a foreign language in schools, universities and institutions around the world, especially in Australia , the Netherlands , Japan , South Korea , Timor-Leste , Vietnam , Taiwan , the United States , and the United Kingdom . ] ] ] ] ] ] ] ] ] ] non-primary source needed ] Indonesian is the official language of Indonesia , and its use is encouraged throughout the Indonesian archipelago. It is regulated in Chapter XV, 1945 Constitution of Indonesia about the flag, official language, coat of arms, and national anthem of Indonesia. ] Also, in Chapter III, Section 25 to 45, Government regulation No. 24/ 2009 mentions explicitly the status of the Indonesian language. ] The national language is Indonesian. Indonesian functions as a symbol of national identity and pride, and is a lingua franca among the diverse ethnic groups in Indonesia and the speakers of vernacular Malay dialects and Malay creoles. The Indonesian language serves as the national and official language, the language of education, communication, transaction and trade documentation, the development of national culture, science, technology, and mass media. It also serves as a vehicle of communication among the provinces and different regional cultures in the country. ] According to Indonesian law, the Indonesian language was proclaimed as the unifying language during the Youth Pledge on 28 October 1928 and developed further to accommoda
In Indonesia , state-owned enterprises ( Indonesian : Badan Usaha Milik Negara ( BUMN ) ) play an important role in the national economy . Their roles includes contributor for national economy growth , providing goods or services which are not covered by private company , employment provider, providing support guidance to small and medium businesses , and source of government revenue . ] The Ministry of State Owned Enterprises represents the government's function as a shareholder of most of those companies, while some are represented by the Ministry of Finance . Aside from SOEs, there are also provincially- or municipally-owned corporations , locally known as Badan Usaha Milik Daerah (BUMD) . The primary difference between BUMNs and BUMDs is the ownership of the enterprise, whereas BUMNs are controlled by the Ministry of State Owned Enterprise while BUMDs are directly controlled by the local government. BUMDs roles are similar with BUMNs, with heavy emphasis on providing goods or services to the local community. In addition, there are also village-owned enterprises which are run by village governments. During the Dutch colonial era, the government had a monopoly on the opium, pawnbroking (nationalized on 1 April 1901), posts (including the Post Office Savings Bank), telegraph and telephone industry, as well as owning most of the railways and electric utilities. They are managed by the Department of State-Owned Enterprises ( Dutch : Department van Gouvernementsbedrijven ). By the end of the Dutch–Indonesian Round Table Conference , the Indonesian government had a major or complete ownership on the public utility , buses , railways, banks and communications. With the beginning of Guided Democracy in Indonesia , many Dutch-owned companies, or Indonesian branches of Dutch companies, were nationalized (see Nationalized Dutch companies below). During the New Order, the nationalized companies were still state-owned. Some of the companies were listed in the Jakarta Stock Exchange later on. Today the largest banks in Indonesia are mostly state-owned. citation needed ] On 1 July 2020, ] the Ministry of State Owned Enterprises uniformized the corporate core values of all state-owned enterprises into what is called AKHLAK. The implementation of AKHLAK in all state-owned enterprises was intended "to create strong SOEs that have global competitiveness with human resources that are qualified, talented, cultured and highly performed." ] They are: Since 2003, there are two types of state-owned enterprises (SOEs) in Indonesia: Until 2003, there was also another type of SOE called Perusahaan Jawatan (Perjan/PJ) ( lit. ' service company ' ) which had operational costs funded from the national budget . Employees of these SOEs were civil servants and the companies were regarded as government agencies . Firms in this category have been either upgraded into other types of SOEs or converted into government agencies. Information on the state-owned enterprises (SOEs) is
regarded as government agencies . Firms in this category have been either upgraded into other types of SOEs or converted into government agencies. Information on the state-owned enterprises (SOEs) is drawn from the Ministry of State Owned Enterprises ] and the Ministry of the State Secretariat 's Legal Documentation and Information Network portals. ] Indonesian SOEs subdivided into 12 clusters.
A first information report ( FIR ) is a document prepared by police organisations in many South and Southeast Asian countries, including Myanmar , India , Bangladesh and Pakistan , when they receive information about the commission of a cognisable offence , or in Singapore when the police receive information about any criminal offence. It generally stems from a complaint lodged with the police by the victim of a cognisable offence or by someone on their behalf, but anyone can make such a report either orally or in writing to the police, so it is necessary to know about cognisable offences. These are serious criminal offences that pose an immediate danger to society such as murder, rape, or robbery. ] For a non-cognisable offence an entry in a community service register or in the station diary is made. Each FIR is important as it sets the process of criminal justice in motion. It is only after the FIR is registered in the police station that the police take up investigation of most types of cases. Anyone who knows about the commission of a cognisable offence, including police officers, can file an FIR. As described in law: An FIR includes the date, time, place, incident details, and a description of the person(s) involved.
New Zealand ( Māori : Aotearoa ] ) is an island country in the southwestern Pacific Ocean . It consists of two main landmasses—the North Island ( Te Ika-a-Māui ) and the South Island ( Te Waipounamu )—and over 700 smaller islands . It is the sixth-largest island country by area and lies east of Australia across the Tasman Sea and south of the islands of New Caledonia , Fiji , and Tonga . The country's varied topography and sharp mountain peaks, including the Southern Alps , owe much to tectonic uplift and volcanic eruptions. New Zealand's capital city is Wellington , and its most populous city is Auckland . The islands of New Zealand were the last large habitable land to be settled by humans. Between about 1280 and 1350, Polynesians began to settle in the islands and then subsequently developed a distinctive Māori culture . In 1642, the Dutch explorer Abel Tasman became the first European to sight and record New Zealand. In 1769 the British explorer Captain James Cook became the first European to set foot on and map New Zealand. In 1840, representatives of the United Kingdom and Māori chiefs signed the Treaty of Waitangi which paved the way for Britain's declaration of sovereignty later that year and the establishment of the Crown Colony of New Zealand in 1841. Subsequently, a series of conflicts between the colonial government and Māori tribes resulted in the alienation and confiscation of large amounts of Māori land. New Zealand became a dominion in 1907; it gained full statutory independence in 1947, retaining the monarch as head of state . Today, the majority of New Zealand's population of 5.25 million is of European descent ; the indigenous Māori are the largest minority, followed by Asians and Pasifika . Reflecting this, New Zealand's culture is mainly derived from Māori and early British settlers, with recent broadening of culture arising from increased immigration to the country . The official languages are English, Māori , and New Zealand Sign Language , with the local dialect of English being dominant. A developed country , it was the first to introduce a minimum wage , and the first to give women the right to vote . It ranks very highly in international measures of quality of life , human rights , and it has one of the lowest levels of perceived corruption in the world. It retains visible levels of inequality , having structural disparities between its Māori and European populations. New Zealand underwent major economic changes during the 1980s, which transformed it from a protectionist to a liberalised free-trade economy. The service sector dominates the national economy , followed by the industrial sector, and agriculture ; international tourism is also a significant source of revenue. New Zealand is a member of the United Nations , Commonwealth of Nations , ANZUS , UKUSA , OECD , ASEAN Plus Six , Asia-Pacific Economic Cooperation , the Pacific Community and the Pacific Islands Forum . It enjoys particularly close relations with the
of Nations , ANZUS , UKUSA , OECD , ASEAN Plus Six , Asia-Pacific Economic Cooperation , the Pacific Community and the Pacific Islands Forum . It enjoys particularly close relations with the United States and is one of its major non-NATO allies ; ] the United Kingdom; Samoa , Fiji , and Tonga ; and with Australia , with a shared " Trans-Tasman " identity between the two countries stemming from centuries of British colonisation. ] Nationally, legislative authority is vested in an elected, unicameral Parliament , while executive political power is exercised by the Government , led by the prime minister , currently Christopher Luxon . Charles III is the country's king and is represented by the governor-general , Cindy Kiro . In addition, New Zealand is organised into 11 regional councils and 67 territorial authorities for local government purposes. The Realm of New Zealand also includes Tokelau (a dependent territory ); the Cook Islands and Niue (self-governing states in free association with New Zealand); and the Ross Dependency , which is New Zealand's territorial claim in Antarctica . The first European visitor to New Zealand, Dutch explorer Abel Tasman , named the islands Staten Land , believing they were part of the Staten Landt that Jacob Le Maire had sighted off the southern end of South America. ] ] Hendrik Brouwer proved that the South American land was a small island in 1643, and Dutch cartographers subsequently renamed Tasman's discovery Nova Zeelandia from Latin , after the Dutch province of Zeeland . ] ] This name was later anglicised to New Zealand . ] ] This was written as Nu Tireni in the Māori language (spelled Nu Tirani in Te Tiriti o Waitangi). In 1834 a document written in Māori and entitled " He Wakaputanga o te Rangatiratanga o Nu Tireni " was translated into English and became the Declaration of the Independence of New Zealand . It was prepared by Te W(h)akaminenga o Nga Rangatiratanga o Nga Hapu o Nu Tireni , the United Tribes of New Zealand , and a copy was sent to King William IV who had already acknowledged the flag of the United Tribes of New Zealand, and who recognised the declaration in a letter from Lord Glenelg . ] ] Aotearoa (pronounced ] in Māori and in English; often translated as 'land of the long white cloud') ] is the current Māori name for New Zealand. It is unknown whether Māori had a name for the whole country before the arrival of Europeans; Aotearoa originally referred to just the North Island . ] Māori had several traditional names for the two main islands, including Te Ika-a-Māui ( ' the fish of Māui ' ) for the North Island and Te Waipounamu ( ' the waters of greenstone ' ) or Te Waka o Aoraki ( ' the canoe of Aoraki ' ) for the South Island . ] Early European maps labelled the islands North (North Island), Middle (South Island), and South ( Stewart Island / Rakiura ). ] In 1830, mapmakers began to use "North" and "South" on their maps to distinguish the two largest islands, and by 1907, this was the
Middle (South Island), and South ( Stewart Island / Rakiura ). ] In 1830, mapmakers began to use "North" and "South" on their maps to distinguish the two largest islands, and by 1907, this was the accepted norm. ] The New Zealand Geographic Board discovered in 2009 that the names of the North Island and South Island had never been formalised, and names and alternative names were formalised in 2013. This set the names as North Island or Te Ika-a-Māui , and South Island or Te Waipounamu . ] For each island, either its English or Māori name can be used, or both can be used together. ] Similarly the Māori and English names for the whole country are sometimes used together ( Aotearoa New Zealand ); ] ] however, this has no official recognition. ] The first people to reach New Zealand were Polynesians in ocean going waka (canoes). Their arrival likely occurred in several waves, approximately between 1280 and 1350 CE. Those Polynesian settlers, isolated in New Zealand, became the Māori of later years. According to an early European synthesized interpretation of various Māori traditional accounts, around 750 CE the heroic explorer, Kupe , had discovered New Zealand and later, around 1350, one great fleet of settlers set out from Hawaiki in eastern Polynesia. ] However, from the late 20th century, this story has been increasingly relegated to the realm of legend and myth. An alternative view has emerged from fresh archaeological and scientific evidence, which correlates with doubts raised by historians everywhere as to the reliability of interpretations drawn from the oral evidence of indigenous peoples, including from Māori. ] Regarding the arrival of these Polynesian settlers, there are no human remains, artefacts or structures which are confidently dated to earlier than the Kaharoa Tephra, a layer of volcanic debris deposited by the Mount Tarawera eruption around 1314 CE. ] Samples of rat bone, rat-gnawed shells and seed cases have given dates later than the Tarawera eruption except for three of a decade or so earlier. ] Radiocarbon dating and pollen evidence of widespread forest fires shortly before the eruption might also indicate a pre-eruption human presence. ] ] Additionally, mitochondrial DNA variability within the Māori populations suggest that Eastern Polynesians first settled the New Zealand archipelago between 1250 and 1300, ] ] ] Therefore, current opinion is that, whether or not some settlers arrived before 1314, the main settlement period was in the subsequent decades, possibly involving a coordinated mass migration. It is also the broad consensus of historians that the Polynesian settlement of New Zealand was planned and deliberate. ] ] ] ] ] Over the centuries that followed, the settlers developed a distinct culture now known as Māori. This scenario is also consistent with a much debated questionable third line of oral evidence, ] traditional genealogies ( whakapapa ) which point to around 1350 as a probable arrival date for many of the
scenario is also consistent with a much debated questionable third line of oral evidence, ] traditional genealogies ( whakapapa ) which point to around 1350 as a probable arrival date for many of the founding canoes ( waka ) from which many Māori trace their descent. ] ] Some Māori later migrated to the Chatham Islands where they developed their distinct Moriori culture. ] A later 1835 invasion by Māori resulted in the massacre and virtual extinction of the Moriori. ] In a hostile 1642 encounter between Ngāti Tūmatakōkiri and Dutch explorer Abel Tasman 's crew, ] ] four of Tasman's crew members were killed, and at least one Māori was hit by canister shot . ] Europeans did not revisit New Zealand until 1769, when British explorer James Cook mapped almost the entire coastline. ] Following Cook, New Zealand was visited by numerous European and North American whaling , sealing , and trading ships. They traded European food, metal tools, weapons, and other goods for timber, Māori food, artefacts, and water. ] The introduction of the potato and the musket transformed Māori agriculture and warfare. Potatoes provided a reliable food surplus, which enabled longer and more sustained military campaigns. ] The resulting intertribal Musket Wars encompassed over 600 battles between 1801 and 1840, killing 30,000–40,000 Māori. ] From the early 19th century, Christian missionaries began to settle New Zealand, eventually converting most of the Māori population. ] The Māori population declined to around 40% of its pre-contact level during the 19th century; introduced diseases were the major factor. ] The British Government appointed James Busby as British Resident to New Zealand in 1832. ] His duties, given to him by Governor Bourke in Sydney, were to protect settlers and traders "of good standing", prevent "outrages" against Māori, and apprehend escaped convicts. ] ] In 1835, following an announcement of impending French settlement by Charles de Thierry , the nebulous United Tribes of New Zealand sent a Declaration of Independence to King William IV of the United Kingdom asking for protection. ] Ongoing unrest, the proposed settlement of New Zealand by the New Zealand Company (which had already sent its first ship of surveyors to buy land from Māori) and the dubious legal standing of the Declaration of Independence prompted the Colonial Office to send Captain William Hobson to claim sovereignty for the United Kingdom and negotiate a treaty with the Māori. ] The Treaty of Waitangi was first signed in the Bay of Islands on 6 February 1840. ] In response to the New Zealand Company's attempts to establish an independent settlement in Wellington , ] ] Hobson declared British sovereignty over all of New Zealand on 21 May 1840, even though copies of the treaty were still circulating throughout the country for Māori to sign. ] With the signing of the treaty and declaration of sovereignty, the number of immigrants, particularly from the United Kingdom, began to increase.
throughout the country for Māori to sign. ] With the signing of the treaty and declaration of sovereignty, the number of immigrants, particularly from the United Kingdom, began to increase. ] New Zealand was administered as a dependency of the Colony of New South Wales until becoming a separate Crown colony , the Colony of New Zealand , on 3 May 1841. ] ] Armed conflict began between the colonial government and Māori in 1843 with the Wairau Affray over land and disagreements over sovereignty. These conflicts, mainly in the North Island, saw thousands of imperial troops and the Royal Navy come to New Zealand and became known as the New Zealand Wars . Following these armed conflicts, large areas of Māori land were confiscated by the government to meet settler demands. ] The colony gained a representative government in 1852 , and the first Parliament met in 1854. ] In 1856 the colony effectively became self-governing, gaining responsibility over all domestic matters (except native policy, which was granted in the mid-1860s). ] Following concerns that the South Island might form a separate colony, premier Alfred Domett moved a resolution to transfer the capital from Auckland to a locality near Cook Strait . ] ] Wellington was chosen for its central location, with Parliament officially sitting there for the first time in 1865. ] In 1886, New Zealand annexed the volcanic Kermadec Islands , about 1,000 km (620 mi) northeast of Auckland. Since 1937, the islands are uninhabited except for about six people at Raoul Island station. These islands put the northern border of New Zealand at 29 degrees South latitude. ] After the 1982 UNCLOS , the islands contributed significantly to New Zealand's exclusive economic zone . ] In 1891, the Liberal Party came to power as the first organised political party. ] The Liberal Government , led by Richard Seddon for most of its period in office, ] passed many important social and economic measures. In 1893, New Zealand was the first nation in the world to grant all women the right to vote ] and pioneered the adoption of compulsory arbitration between employers and unions in 1894. ] The Liberals also guaranteed a minimum wage in 1894, a world first. ] In 1907, at the request of the New Zealand Parliament, King Edward VII proclaimed New Zealand a Dominion within the British Empire , ] reflecting its self-governing status. ] In 1947, New Zealand adopted the Statute of Westminster , confirming that the British Parliament could no longer legislate for the country without its consent. The British government's residual legislative powers were later removed by the Constitution Act 1986 , and final rights of appeal to British courts were abolished in 2003. ] Early in the 20th century , New Zealand was involved in world affairs, fighting in the First and Second World Wars ] and suffering through the Great Depression . ] The depression led to the election of the first Labour Government and the establishment of a comprehensive
fighting in the First and Second World Wars ] and suffering through the Great Depression . ] The depression led to the election of the first Labour Government and the establishment of a comprehensive welfare state and a protectionist economy. ] New Zealand experienced increasing prosperity following the Second World War, ] and Māori began to leave their traditional rural life and move to the cities in search of work. ] A Māori protest movement developed, which criticised Eurocentrism and worked for greater recognition of Māori culture and of the Treaty of Waitangi. ] In 1975, a Waitangi Tribunal was set up to investigate alleged breaches of the Treaty, and it was enabled to investigate historic grievances in 1985. ] The government has negotiated settlements of these grievances with many iwi, ] although Māori claims to the foreshore and seabed proved controversial in the 2000s. ] ] New Zealand is located near the centre of the water hemisphere and is made up of two main islands and more than 700 smaller islands . ] The two main islands (the North Island , or Te Ika-a-Māui , and the South Island , or Te Waipounamu ) are separated by Cook Strait , 22 kilometres (14 mi) wide at its narrowest point. ] Besides the North and South Islands, the five largest inhabited islands are Stewart Island (across the Foveaux Strait ), Chatham Island , Great Barrier Island (in the Hauraki Gulf ), ] D'Urville Island (in the Marlborough Sounds ) ] and Waiheke Island (about 22 km (14 mi) from central Auckland). ] New Zealand is long and narrow—over 1,600 kilometres (990 mi) along its north-north-east axis with a maximum width of 400 kilometres (250 mi) ] —with about 15,000 km (9,300 mi) of coastline ] and a total land area of 268,000 square kilometres (103,500 sq mi). ] Because of its far-flung outlying islands and long coastline, the country has extensive marine resources. Its exclusive economic zone is one of the largest in the world, covering more than 15 times its land area. ] The South Island is the largest landmass of New Zealand. It is divided along its length by the Southern Alps . ] There are 18 peaks over 3,000 metres (9,800 ft), the highest of which is Aoraki / Mount Cook at 3,724 metres (12,218 ft). ] Fiordland 's steep mountains and deep fiords record the extensive ice age glaciation of this southwestern corner of the South Island. ] The North Island is less mountainous but is marked by volcanism . ] The highly active Taupō Volcanic Zone has formed a large volcanic plateau , punctuated by the North Island's highest mountain, Mount Ruapehu (2,797 metres (9,177 ft)). The plateau also hosts the country's largest lake, Lake Taupō , ] nestled in the caldera of one of the world's most active supervolcanoes . ] New Zealand is prone to earthquakes . The country owes its varied topography, and perhaps even its emergence above the waves, to the dynamic boundary it straddles between the Pacific and Indo-Australian Plates . ] New Zealand is part of Zealandia , a

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