Albany, a city in east-central New York, is the capital of New York State. It is located on the west bank of the Hudson river and is a deep water port. With a population of 95,658 in 2000, Albany covers an area of 55.4 square miles (143 square kilometers). Along with nearby cities, including Troy and Schenectady, Albany forms New York's "Capital District," a major residential and commercial area.

History
Sailing under the Dutch flag, English navigator Henry Hudson first visited the site that is now Albany in 1609. It was inhabited by the Mahican, an Algonquian people. Four years later, the Dutch opened a fur-trading post there called Fort Nassau. In 1624, Walloon families from Belgium established the first permanent settlement, Fort Orange. It was renamed Beverwyck, or "town of the beer," in 1652. After Beverwyck surrendered to the British in 1664, the settlement was renamed yet again, this time to honor the duke of York and Albany, who later became King James II.

In 1754, delegates from six colonies met in the city for the Albany Congress and adopted Benjamin Franklin's Plan of Union. This was the first formal attempt to unite the colonies politically. It earned Albany the nickname "Cradle of the Union."

During the American Revolution, the British inflicted heavy damage on the city. It became the New York capital in 1797. (Before 1797, the cities of Kingston and New York City each served as the state capital.) Nineteenth-century developments in transportation led to Albany's growth. The Champlain Canal, completed in 1822, linked the city with Lake Champlain to the north.

 Three years later, with the completion of the Erie Canal, Albany began to benefit from canal trade with the
west. The Mohawk and Hudson Railroad, the first steam railway in the United States, connected Albany with nearby cities in 1831. In the early 20th century, the dredging of a channel in the Hudson river allowed deep water ships to sail up the river as far as Albany.

The State Capitol
Most of the state's official business takes place in Albany. The State Capitol, begun in 1867 and completed in 1899, is the most important government building in the city. Both the state senate and the assembly meet there. The Nelson A. Rockefeller Empire State Plaza, completed in the 1960s, is another center of state business and offices. The New York State Museum, the New York State Library, and cultural and performing-arts centers are also located in the plaza.

Albany Today
During the 1960s, Governor Nelson A. Rockefeller began an ambitious program of cleanup and construction that changed the face of downtown Albany. Although the city's economy revolves mainly around government, Albany is also the regional center for a number of banks and manufacturing companies. It has a major medical center, an international airport, and numerous colleges and universities, including a large branch of the State University of New York (SUNY).