Economy
Total GDP of the Flemish Region in 2004 was € 165,847 million (Eurostat figures). Per capita GDP at purchasing power parity was 23% above the EU average. Flemish productivity per capita is about 13% higher than that in Wallonia, and wages are about 7% higher than in Wallonia.
Flanders was one of the first continental European areas to undergo the Industrial Revolution, in the 19th century. Initially, the modernization relied heavily on food processing and textile. However, by the 1840s the textile industry of Flanders was in severe crisis and there was famine in Flanders (1846–50). After World War II, Antwerp and Ghent experienced a fast expansion of the chemical and petroleum industries. Flanders also attracted a large majority of foreign investments in Belgium, among others thanks to its well-educated and industrious labour force. The 1973 and 1979 oil crises sent the economy into a recession. The steel industry remained in relatively good shape. In the 1980s and 90s, the economic centre of Belgium continued to shift further to Flanders and is now concentrated in the populous Flemish Diamond area. Nowadays, the Flemish economy is mainly service-oriented, although its diverse industry remains a crucial force.
Belgium is a founding member of the European Coal and Steel Community in 1951, which evolved into the present-day European Union. In 1999, the euro, the single European currency, was introduced in Flanders. It replaced the Belgian franc in 2002.
The Flemish economy is strongly export-oriented, in particular of high value-added goods. The main imports are food products, machinery, rough diamonds, petroleum and petroleum products, chemicals, clothing and accessories, and textiles. The main exports are automobiles, food and food products, iron and steel, finished diamonds, textiles, plastics, petroleum products, and non-ferrous metals. Since 1922, Belgium and Luxembourg have been a single trade market within a customs and currency union—the Belgium–Luxembourg Economic Union. Its main trading partners are Germany, the Netherlands, France, the United Kingdom, Italy, the United States, and Spain.
Antwerp is the number one diamond market in the world, diamond exports account for roughly 1/10 of Belgian exports. The Antwerp-based BASF plant is the largest BASF-base outside Germany, and accounts on its own for about 2% of Belgian exports. Other industrial and service activities in Antwerp include car manufacturing, telecommunications, photographic products.
The Flemish Government created an agency, Flanders Investment & Trade (Vlaams Agentschap voor Internationaal Ondernemen), which aims to stimulate international investment in Flanders.
Flanders is home to several science and technology institutes, such as IMEC, Flanders DC and Flanders DRIVE.
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Famous quotes containing the word economy:
“Everyone is always in favour of general economy and particular expenditure.”
—Anthony, Sir Eden (1897–1977)
“I favor the policy of economy, not because I wish to save money, but because I wish to save people. The men and women of this country who toil are the ones who bear the cost of the Government. Every dollar that we carelessly waste means that their life will be so much the more meager. Every dollar that we prudently save means that their life will be so much the more abundant. Economy is idealism in its most practical terms.”
—Calvin Coolidge (1872–1933)
“The counting-room maxims liberally expounded are laws of the Universe. The merchant’s economy is a coarse symbol of the soul’s economy. It is, to spend for power, and not for pleasure.”
—Ralph Waldo Emerson (1803–1882)