A small British settlement was established on Port Phillip Bay in 1803 but it only survived for a year. A permanent settlement was finally set up in 1835 by a number of settlers from Van Dieman's Land (modern-day Tasmania), including one John Batman who purchased 600,000 acres of land from the local Wurundjeri Aboriginal tribe.
In 1837 the settlement was named "Melbourne", after the English prime minister of the day, William Lamb, 2nd Viscount Melbourne.The Victorian Aboriginals were largely driven off their lands, including those where Melbourne was being constructed.
Gold was discovered in central Victoria in 1851. A gold rush soon followed with Melbourne becoming the entry point for large numbers of miners coming to make their fortune. The population rose from 25,000 to 40,000.
The profits from gold led to a massive civic building program. Public buildings such as Parliament House, the Treasury, the University, the Post Office, Government House, Victoria Barracks and various churches and markets, plus major gardens and avenues, were constructed in this period.
By the 1880s Melbourne had become the second largest city in the British Empire (after London) and the richest city in the world. But the boom ended in 1891 with a financial crisis, economic depression, and the collapse of 16 banks and building societies.








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AboutAustraliaMar 4, 2012