Belgium and Luxembourg (Eyewitness Travel Guides)

18 INTRODUCING BELGIUM AND LUXEMBOURG

Modern façade of the European Parliament in Brussels,

looming above a statue of industrialist John Cockerill

The old docks at Antwerp, Belgium’s most important port-city

GOVERNMENT AND POLITICS

Belgium is a constitutional monarchy

and King Albert II is the head of state.

Politically, Dutch-speaking Flanders

and French-speaking Wallonia have

each been given their own regional

governments, which has, to some

degree, satisfied the desire for auton-

omy. However, it has also reinforced

the divisions. There is an overarching

federal government, based in Brussels,

but intercommunal strains in recent

years have resulted in unstable

national governments composed of

precarious and complex coalitions.

The resentment attached to

Belgium’s linguistic divide has a long

history, dating back to the Middle

Ages, when Flanders was

ruled by a French-speaking

elite. When Belgium began to

industrialize, French-speaking

Wallonia became the centre

of production for coal, steel

and manufactured goods. The

Flemish fell victim to eco-

nomic, social and cultural

discrimination. This situation

has been reversed in recent

times. As the economy shifted

towards light industries, financial

services and international trade,

Flanders prospered and Wallonia

drifted into the doldrums. Politically,

Flanders became more assertive,

achieving ever greater degrees of self-

rule. However, new resentments grew

in these changed circumstances.

Luxembourg is also a constitutional

monarchy. The head of state is the

grand duke, who has genuine author-

ity over an elected government. The

grand ducal family has strong dynas-

tic ties to Belgium – the mother of

Grand Duke Henri, the present

incumbent, was Princess Joséphine-

Charlotte of Belgium, older sister to

King Albert II. However, it would be

a mistake to think that Luxembourg

lives in Belgium’s slipstream. Small it

may be, but Luxembourg is an utterly

independent country with its own

distinct culture and identity.

THE ECONOMY

Belgium has a mixed economy of

manufacturing, agriculture, trade,

financial services and knowledge-

based industries such as pharmaceuti-

cals, biotechnology and information

and communication technology. Its

old traditional industries, such as steel

and chemicals, are now mainly in the

hands of multinational companies.

The prime exports are foodstuffs, tex-

tiles, iron and steel, cars and plastics.

Antwerp in Flanders is world leader