Because of its geographical position the settlement became a flourishing trade port. By the beginning of the seventeenth century its maritime commerce had reached a zenith with the founding of the East and West India Companies. This launched the city on its voyage into the Golden Age of the Netherlands. It was in this period of mastery of the waterways that the three great concentric canals were constructed and bordered by long rows of narrow houses built by the city's richest and most aristocratic merchants. Tea, tobacco, cocoa, spices, and diamonds were amongst the list of exotic commodities traded.
The city is famous for it's extensive canal system. In total, there are over one hundred of them with a total length of some sixty-five miles. In the immediate aftermath of the Second World War, owing to the large number of houses that had been destroyed, many families set up homes on these canals. Today gaily painted barges are keenly sought after as accommodation and flank the canals.
With an impressive array of historic buildings, canals, bridges, bright yellow street trams and literally millions of bicycles, Amsterdam remains one of the most attractive and charming of Europe's cities