Monaco

The Principality of Monaco is the second-smallest independent state in the world, after Vatican City. It is located on the Mediterranean coast, 18 kilometers (11 mi.) east of Nice, France, and is surrounded on three sides by France. Monaco is divided into four sections: Monaco-Ville, the old city on a rocky promontory extending into the Mediterranean; La Condamine, the section along the port; Monte-Carlo, the principal residential and resort area; and Fontvieille, a newly constructed area reclaimed from the sea.

The principality is noted for its beautiful natural scenery and mild, sunny climate. The average minimum temperature in January and February is 8^oC (47^oF); in July and August the average maximum temperature is 26^oC (78^oF).

In 2001, Monaco's population was estimated at 32,020, with an estimated average growth rate of 0.46%.

French is the official language; English, Italian, and Monegasque (a blend of French and Italian) also are spoken. The literacy rate is 99%. Roman Catholicism is the official religion, with freedom of other religions guaranteed by the constitution.

Founded in 1215 as a colony of Genoa, Monaco has been ruled by the House of Grimaldi since 1297, except when under French control from 1789 to 1814. Designated as a protectorate of Sardinia from 1815 until 1860 by the Treaty of Vienna, Monaco's sovereignty was recognized by the Franco-Monegasque Treaty of 1861. The Prince of Monaco was an absolute ruler until a constitution was promulgated in 1911.

In July 1918, a treaty was signed providing for limited French protection over Monaco. The treaty, formally noted in the Treaty of Versailles, established that Monegasque policy would be aligned with French political, military, and economic interests.

Prince Rainier III, the ruler of Monaco, acceded to the throne following the death of his grandfather, Prince Louis II, in 1949. The heir apparent, Prince Albert, was born in 1958.

A new constitution, proclaimed in 1962, abolished capital punishment, provided for female suffrage, and established a Supreme Court to guarantee fundamental liberties.

In 1993, Monaco became an official member of the United Nations with full voting rights.

Monaco, located on the Mediterranean coast, has an economy primarily geared toward finance, commerce, and tourism. Low taxes have drawn many foreign companies to Monaco and account for around 50% of the $518 million annual government income (2001). Similarly, tourism accounts for close to 25% of the annual revenue, as the Principality of Monaco also has been a major center for tourism ever since its famed casino was established in 1856.

Customs, postal services, telecommunications, and banking in Monaco are governed by an economic and customs union with France. The official currency is the euro.

Though official economic statistics are not published, 1999 estimates place the national product at $870 million and the per capita income at $27,000. The unemployment rate is low, at 3.1% (1998).

Monaco is noted for its activity in the field of marine sciences. Its Oceanographic Museum, formerly directed by Jacques Cousteau, is one of the most renowned institutions of its kind in the world. Monaco imports and exports products and services from all over the world. There is no commercial agriculture in Monaco.