Montevideo, founded by the Spanish in as a military stronghold, soon took advantage of its natural harbor to become an important commercial center. Claimed by Argentina but annexed by Brazil in , Uruguay declared its independence four years later and secured its freedom in after a three-year struggle. The administrations of President Jose BATLLE in the early 20th century launched widespread political, social, and economic reforms that established a statist tradition. A violent Marxist urban guerrilla movement named the Tupamaros, launched in the late s, led Uruguay's president to cede control of the government to the military in By yearend, the rebels had been crushed, but the military continued to expand its hold over the government.
Civilian rule was restored in In , the left-of-center Frente Amplio Coalition won national elections that effectively ended years of political control previously held by the Colorado and National Blanco parties.
Uruguay's political and labor conditions are among the freest on the continent. Roman Catholic Uruguay rates high for most development indicators and is known for its secularism, liberal social laws, and well-developed social security, health, and educational systems.
It is one of the few countries in Latin America and the Caribbean where the entire population has access to clean water. Uruguay's provision of free primary through university education has contributed to the country's high levels of literacy and educational attainment. However, the emigration of human capital has diminished the state's return on its investment in education. The emigration of young adults and a low birth rate are causing Uruguay's population to age rapidly.
In the s, Uruguayans for the first time emigrated en masse - primarily to Argentina and Brazil - because of economic decline and the onset of more than a decade of military dictatorship. Uruguay had a tiny population upon its independence in and welcomed thousands of predominantly Italian and Spanish immigrants, but the country has not experienced large influxes of new arrivals since the aftermath of World War II. More recent immigrants include Peruvians and Arabs.
