section_path: Economy
section_name: Economy
paragraph_text: Economy
  
  Since the 16th century, shipping, fishing, agriculture, trade, and banking have been leading sectors of the Dutch economy. The Netherlands has a high level of economic freedom. The Netherlands is one of the top countries in the Global Enabling Trade Report (2nd in 2016), and was ranked the fifth most competitive economy in the world by the Swiss International Institute for Management Development in 2017. The country was ranked the 7th most innovative nation in the world in the 2023 Global Innovation Index down from 2nd in 2018.
  
  As of 2020, the key trading partners of the Netherlands were Germany, Belgium, the United Kingdom, the United States, France, Italy, China and Russia. The Netherlands is one of the world's 10 leading exporting countries. Foodstuffs form the largest industrial sector. Other major industries include chemicals, metallurgy, machinery, electrical goods, trade, services and tourism. Examples of international Dutch companies operating in the Netherlands include Randstad, Heineken, KLM, financial services (ING, ABN AMRO, Rabobank), chemicals (DSM, AKZO), petroleum refining (Shell plc), electronic machinery (Philips, ASML), and satellite navigation (TomTom).
  
  The Netherlands has the 17th-largest economy in the world, and ranks 11th in GDP (nominal) per capita. The Netherlands has low income inequality, but wealth inequality is relatively high. Despite ranking 11th in GDP per capita, UNICEF ranked the Netherlands 1st in child well-being in rich countries, both in 2007 and in 2013.
  
  Amsterdam is the financial and business capital of the Netherlands. The Amsterdam Stock Exchange (AEX), part of Euronext, is the world's oldest stock exchange and is one of Europe's largest bourses. As a founding member of the euro, the Netherlands replaced (for accounting purposes) its former currency, the "gulden" (guilder), on 1 January 1999. Actual euro coins and banknotes followed on 1 January 2002. One euro was equivalent to 2.20371 Dutch guilders. In the Caribbean Netherlands, the United States dollar is used instead. The Netherlands is a "conduit country" that helps to funnel profits from high-tax countries to tax havens. It has been ranked as the 4th largest tax haven in the world.
  
  The Dutch location gives it prime access to markets in the United Kingdom and Germany, with the Port of Rotterdam being the largest port in Europe. Other important parts of the economy are international trade, banking and transport. The Netherlands successfully addressed the issue of public finances and stagnating job growth long before its European partners. Amsterdam is the 5th-busiest tourist destination in Europe, with more than 4.2 million international visitors. Since the enlargement of the EU, large numbers of migrant workers have arrived in the Netherlands from Central and Eastern Europe.
  
  The Netherlands continues to be one of the leading European nations for attracting foreign direct investment and is one of the five largest investors in the United States. The economy experienced a slowdown in 2005, but in 2006 recovered to the fastest pace in six years on the back of increased exports and strong investment. The pace of job growth reached 10-year highs in 2007. The Netherlands is the fourth-most competitive economy in the world, according to the World Economic Forum 's Global Competitiveness Report.