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The 2004 CIA World Factbook
by United States. Central Intelligence Agency
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Cambodia Most Cambodians consider themselves to be Khmers, whose Angkor Empire extended over much of Southeast Asia and reached its zenith between the 10th and 13th centuries. Subsequently, attacks by the Thai and Cham (from present-day Vietnam) weakened the empire ushering in a long period of decline. In 1863, the king of Cambodia placed the country under French protection; it became part of French Indochina in 1887. Following Japanese occupation in World War II, Cambodia became independent within the French Union in 1949 and fully independent in 1953. After a five-year struggle, Communist Khmer Rouge forces captured Phnom Penh in April 1975 and ordered the evacuation of all cities and towns; at least 1.5 million Cambodians died from execution, enforced hardships, or starvation during the Khmer Rouge regime under POL POT. A December 1978 Vietnamese invasion drove the Khmer Rouge into the countryside, led to a 10-year Vietnamese occupation, and touched off almost 13 years of civil war. The 1991 Paris Peace Accords mandated democratic elections and a ceasefire, which was not fully respected by the Khmer Rouge. UN-sponsored elections in 1993 helped restore some semblance of normalcy and the final elements of the Khmer Rouge surrendered in early 1999. Factional fighting in 1997 ended the first coalition government, but a second round of national elections in 1998 led to the formation of another coalition government and renewed political stability. The July 2003 elections were relatively peaceful, but it took one year of negotiations between contending political parties before a coalition government was formed. Nation-wide local elections are scheduled for 2007 and national elections for 2008.

Cameroon The former French Cameroon and part of British Cameroon merged in 1961 to form the present country. Cameroon has generally enjoyed stability, which has permitted the development of agriculture, roads, and railways, as well as a petroleum industry. Despite movement toward democratic reform, political power remains firmly in the hands of an ethnic oligarchy.

Canada A land of vast distances and rich natural resources, Canada became a self-governing dominion in 1867 while retaining ties to the British crown. Economically and technologically the nation has developed in parallel with the US, its neighbor to the south across an unfortified border. Canada's paramount political problem is meeting public demands for quality improvements in health care and education services after a decade of budget cuts. The issue of reconciling Quebec's francophone heritage with the majority anglophone Canadian population has moved to the back burner in recent years; support for separatism abated after the Quebec government's referendum on independence failed to pass in October of 1995.

Cape Verde The uninhabited islands were discovered and colonized by the Portuguese in the 15th century; Cape Verde subsequently became a trading center for African slaves and later an important coaling and resupply stop for whaling and transatlantic shipping. Following independence in 1975, and a tentative interest in unification with Guinea-Bissau, a one-party system was established and maintained until multi-party elections were held in 1990. Cape Verde continues to exhibit one of Africa's most stable democratic governments. Repeated droughts during the second half of the 20th century caused significant hardship and prompted heavy emigration. As a result, Cape Verde's expatriate population is greater than its domestic one. Most Cape Verdeans have both African and Portuguese antecedents.

Cayman Islands The Cayman Islands were colonized from Jamaica by the British during the 18th and 19th centuries. Administered by Jamaica since 1863, they remained a British dependency after 1962 when the former became independent.

Central African Republic The former French colony of Ubangi-Shari became the Central African Republic upon independence in 1960. After three tumultuous decades of misrule - mostly by military governments - civilian rule was established in 1993 and lasted for one decade. President Ange-Felix PATASSE's civilian government was plagued by unrest, and in March 2003 he was deposed in a military coup led by General Francois BOZIZE, who has since established a transitional government. Though the government has the tacit support of civil society groups and the main parties, a wide field of affiliated and independent candidates will contest the municipal, legislative, and presidential elections scheduled for February 2005. The government still does not fully control the countryside, where pockets of lawlessness persist.

Chad Chad, part of France's African holdings until 1960, endured three decades of ethnic warfare as well as invasions by Libya before a semblance of peace was finally restored in 1990. The government eventually suppressed or came to terms with most political-military groups, settled a territorial dispute with Libya on terms favorable to Chad, drafted a democratic constitution, and held multiparty presidential elections in 1996 and 1997. In 1998, a new rebellion broke out in northern Chad, which sporadically flares up despite two peace agreements signed in 2002 and 2003 between the government and the rebels. Despite movement toward democratic reform, power remains in the hands of a northern ethnic oligarchy.

Chile A three-year-old Marxist government was overthrown in 1973 by a dictatorial military regime led by Augusto PINOCHET, who ruled until a freely elected president was installed in 1990. Sound economic policies, maintained consistently since the 1980s, have contributed to steady growth and have helped secure the country's commitment to democratic and representative government. Chile has increasingly assumed regional and international leadership roles befitting its status as a stable, democratic nation.

China For centuries China stood as a leading civilization, outpacing the rest of the world in the arts and sciences, but in the 19th and early 20th centuries, the country was beset by civil unrest, major famines, military defeats, and foreign occupation. After World War II, the Communists under MAO Zedong established an autocratic socialist system that, while ensuring China's sovereignty, imposed strict controls over everyday life and cost the lives of tens of millions of people. After 1978, his successor DENG Xiaoping and other leaders focused on market-oriented economic development and by 2000 output had quadrupled. For much of the population, living standards have improved dramatically and the room for personal choice has expanded, yet political controls remain tight.

Christmas Island Named in 1643 for the day of its discovery, the island was annexed and settlement was begun by the UK in 1888. Phosphate mining began in the 1890s. The UK transferred sovereignty to Australia in 1958. Almost two-thirds of the island has been declared a national park.

Clipperton Island This isolated island was named for John CLIPPERTON, a pirate who made it his hideout early in the 18th century. Annexed by France in 1855, it was seized by Mexico in 1897. Arbitration eventually awarded the island to France, which took possession in 1935.

Cocos (Keeling) Islands There are 27 coral islands in the group. Captain William KEELING discovered the islands in 1609, but they remained uninhabited until the 19th century. Annexed by the UK in 1857, they were transferred to the Australian Government in 1955. The population on the two inhabited islands generally is split between the ethnic Europeans on West Island and the ethnic Malays on Home Island.

Colombia Colombia was one of the three countries that emerged from the collapse of Gran Colombia in 1830 (the others being Ecuador and Venezuela). A 40-year insurgent campaign to overthrow the Colombian Government escalated during the 1990s, undergirded in part by funds from the drug trade. Although the violence is deadly and large swaths of the countryside are under guerrilla influence, the movement lacks the military strength or popular support necessary to overthrow the government. An anti-insurgent army of paramilitaries has grown to be several thousand strong in recent years, challenging the insurgents for control of territory and the drug trade, and also the government's ability to exert its dominion over rural areas. While Bogota steps up efforts to reassert government control throughout the country, neighboring countries worry about the violence spilling over their borders.

Comoros Unstable Comoros has endured 19 coups or attempted coups since gaining independence from France in 1975. In 1997, the islands of Anjouan and Moheli declared their independence from Comoros. In 1999, military chief Col. AZALI seized power. He pledged to resolve the secessionist crisis through a confederal arrangement named the 2000 Fomboni Accord. In December 2001, voters approved a new constitution and presidential elections took place in the spring of 2002. Each island in the archipelago elected its own president and a new union president was sworn in on 26 May 2002.

Congo, Democratic Republic of the Since 1997, the Democratic Republic of the Congo (DROC; formerly called Zaire) has been rent by ethnic strife and civil war, touched off by a massive inflow in 1994 of refugees from the fighting in Rwanda and Burundi. The government of former president MOBUTU Sese Seko was toppled by a rebellion led by Laurent KABILA in May 1997; his regime was subsequently challenged by a Rwanda- and Uganda-backed rebellion in August 1998. Troops from Zimbabwe, Angola, Namibia, Chad, and Sudan intervened to support the Kinshasa regime. A cease-fire was signed on 10 July 1999 by the DROC, Zimbabwe, Angola, Uganda, Namibia, Rwanda, and Congolese armed rebel groups, but sporadic fighting continued. KABILA was assassinated on 16 January 2001 and his son Joseph KABILA was named head of state ten days later. In October 2002, the new president was successful in getting occupying Rwandan forces to withdraw from eastern Congo; two months later, the Pretoria Accord was signed by all remaining warring parties to end the fighting and set up a government of national unity. A transitional government was set up in July 2003; Joseph KABILA remains as president and is joined by four vice presidents from the former government, former rebel camps, and the political opposition.

Congo, Republic of the Upon independence in 1960, the former French region of Middle Congo became the Republic of the Congo. A quarter century of experimentation with Marxism was abandoned in 1990 and a democratically elected government installed in 1992. A brief civil war in 1997 restored former Marxist President SASSOU-NGUESSO, but ushered in a period of ethnic unrest. Southern-based rebel groups agreed to a final peace accord in March 2003. The Republic of Congo is one of Africa's largest petroleum producers with significant potential for offshore development.

Cook Islands Named after Captain Cook, who sighted them in 1770, the islands became a British protectorate in 1888. By 1900, administrative control was transferred to New Zealand; in 1965 residents chose self-government in free association with New Zealand. The emigration of skilled workers to New Zealand and government deficits are continuing problems.

Coral Sea Islands Scattered over some 1 million square kilometers of ocean, the Coral Sea Islands were declared a territory of Australia in 1969. They are uninhabited except for a small meteorological staff on the Willis Islets. Automated weather stations, beacons, and a lighthouse occupy many other islands and reefs.

Costa Rica Costa Rica is a Central American success story: since the late 19th century, only two brief periods of violence have marred its democratic development. Although still a largely agricultural country, it has expanded its economy to include strong technology and tourism sectors. The standard of living is relatively high. Land ownership is widespread.

Cote d'Ivoire Close ties to France since independence in 1960, the development of cocoa production for export, and foreign investment made Cote d'Ivoire one of the most prosperous of the tropical African states, but did not protect it from political turmoil. On 25 December 1999, a military coup - the first ever in Cote d'Ivoire's history - overthrew the government led by President Henri Konan BEDIE. Junta leader Robert GUEI held elections in late 2000, but excluded prominent opposition leader Alassane OUATTARA, blatantly rigged the polling results, and declared himself winner. Popular protest forced GUEI to step aside and brought runner-up Laurent GBAGBO into power. Ivorian dissidents and disaffected members of the military launched a failed coup attempt in September 2002. Rebel forces claimed the northern half of the country and in January 2003 were granted ministerial positions in a unity government under the auspices of the Linas-Marcoussis Peace Accord. President GBAGBO and rebel forces resumed implementation of the peace accord in December 2003 after a three-month stalemate, but issues that sparked the civil war, such as land reform and grounds for nationality remain unresolved. The central government has yet to exert control over the northern regions and tensions remain high between GBAGBO and rebel leaders. Several thousand French and West African troops remain in Cote d'Ivoire to maintain peace and facilitate the disarmament, demobilization, and rehabilitation process.

Croatia The lands that today comprise Croatia were part of the Austro-Hungarian Empire until the close of World War I. In 1918, the Croats, Serbs, and Slovenes formed a kingdom known after 1929 as Yugoslavia. Following World War II, Yugoslavia became a federal independent Communist state under the strong hand of Marshal TITO. Although Croatia declared its independence from Yugoslavia in 1991, it took four years of sporadic, but often bitter, fighting before occupying Serb armies were mostly cleared from Croatian lands. Under UN supervision, the last Serb-held enclave in eastern Slavonia was returned to Croatia in 1998.

Cuba The native Amerindian population of Cuba began to decline after the European discovery of the island by Christopher COLUMBUS in 1492 and following its development as a Spanish colony during the next several centuries. Large numbers of African slaves were imported to work the coffee and sugar plantations and Havana became the launching point for the annual treasure fleets bound for Spain from Mexico and Peru. Spanish rule was severe and exploitative and occasional rebellions were harshly suppressed. It was US intervention during the Spanish-American War in 1898 that finally overthrew Spanish rule. The subsequent Treaty of Paris established Cuban independence, which was granted in 1902 after a three-year transition period. Fidel CASTRO led a rebel army to victory in 1959; his iron rule has held the regime together since then. Cuba's Communist revolution, with Soviet support, was exported throughout Latin America and Africa during the 1960s, 1970s, and 1980s. The country is now slowly recovering from a severe economic recession in 1990, following the withdrawal of former Soviet subsidies, worth $4 billion to $6 billion annually. Cuba portrays its difficulties as the result of the US embargo in place since 1961. Illicit migration to the US - using homemade rafts, alien smugglers, air flights, or via the southwest border - is a continuing problem. Some 2,500 Cubans attempted the crossing of the Straits of Florida in 2003; the US Coast Guard apprehended about 60% of the individuals.

Cyprus A former British colony, Cyprus received independence in 1960 following years of resistance to British rule. Tensions between the Greek Cypriot majority and Turkish Cypriot minority came to a head in December 1963, when violence broke out in the capital of Nicosia. Despite the deployment of UN peacekeepers in 1964, sporadic intercommunal violence continued forcing most Turkish Cypriots into enclaves throughout the island. In 1974, a Greek-sponsored attempt to seize the government was met by military intervention from Turkey, which soon controlled more than a third of the island. In 1983, the Turkish-held area declared itself the "Turkish Republic of Northern Cyprus," but it is recognized only by Turkey. The latest two-year round of UN-brokered direct talks - between the leaders of the Greek Cypriot and Turkish Cypriot communities to reach an agreement to reunite the divided island - ended when the Greek Cypriots rejected the UN settlement plan in an April 2004 referendum. Although only the internationally recognized Greek Cypriot-controlled Republic of Cyprus joined the EU on 1 May 2004, every Cypriot carrying a Cyprus passport will have the status of a European citizen. EU laws, however, will not apply to north Cyprus. Nicosia continues to oppose EU efforts to establish direct trade and economic links to north Cyprus as a way of encouraging the Turkish Cypriot community to continue to support reunification.

Czech Republic Following the First World War, the closely related Czechs and Slovaks of the former Austro-Hungarian Empire merged to form Czechoslovakia. During the interwar years, the new country's leaders were frequently preoccupied with meeting the demands of other ethnic minorities within the republic, most notably the Sudeten Germans and the Ruthenians (Ukrainians). After World War II, a truncated Czechoslovakia fell within the Soviet sphere of influence. In 1968, an invasion by Warsaw Pact troops ended the efforts of the country's leaders to liberalize Communist party rule and create "socialism with a human face." Anti-Soviet demonstrations the following year ushered in a period of harsh repression. With the collapse of Soviet authority in 1989, Czechoslovakia regained its freedom through a peaceful "Velvet Revolution." On 1 January 1993, the country underwent a "velvet divorce" into its two national components, the Czech Republic and Slovakia. The Czech Republic joined NATO in 1999 and the European Union in 2004.

Denmark Once the seat of Viking raiders and later a major north European power, Denmark has evolved into a modern, prosperous nation that is participating in the general political and economic integration of Europe. It joined NATO in 1949 and the EEC (now the EU) in 1973. However, the country has opted out of certain elements of the European Union's Maastricht Treaty, including the European Economic and Monetary Union (EMU), European defense cooperation, and issues concerning certain justice and home affairs.

Dhekelia By terms of the 1960 Treaty of Establishment that created the independent Republic of Cyprus, the UK retained full sovreignty and jurisdiction over two areas of almost 254 square kilometers in total: Akrotiri and Dhekelia. The larger of these of these is the Dhekelia Sovereign Base Area, which is also referred to as the Eastern Sovereign Base Area.

Djibouti The French Territory of the Afars and the Issas became Djibouti in 1977. Hassan Gouled APTIDON installed an authoritarian one-party state and proceeded to serve three consecutive six-year terms as president. Unrest among the Afars minority during the 1990s led to multi-party elections resulting in President Ismail Omar GUELLEH attaining office in May 1999. A peace accord in 2001 ended the final phases of a ten-year uprising by Afar rebels. Djibouti occupies a very strategic geographic location at the mouth of the Red Sea and serves as an important transshipment location for goods entering and leaving the east African highlands. GUELLEH favors close ties to France, which maintains a significant military presence in the country.

Dominica Dominica was the last of the Caribbean islands to be colonized by Europeans, due chiefly to the fierce resistance of the native Caribs. France ceded possession to Great Britain in 1763, which made the island a colony in 1805. In 1980, two years after independence, Dominica's fortunes improved when a corrupt and tyrannical administration was replaced by that of Mary Eugenia CHARLES, the first female prime minister in the Caribbean, who remained in office for 15 years. Some 3,000 Carib Indians still living on Dominica are the only pre-Columbian population remaining in the eastern Caribbean.

Dominican Republic Explored and claimed by Columbus on his first voyage in 1492, the island of Hispaniola became a springboard for Spanish conquest of the Caribbean and the American mainland. In 1697, Spain recognized French dominion over the western third of the island, which in 1804 became Haiti. The remainder of the island, by then known as Santo Domingo, sought to gain its own independence in 1821, but was conquered and ruled by the Haitians for 22 years; it finally attained independence as the Dominican Republic in 1844. In 1861, the Dominicans voluntarily returned to the Spanish Empire, but two years later they launched a war that restored independence in 1865. A legacy of unsettled, mostly non-representative, rule for much of its subsequent history was brought to an end in 1966 when Joaquin BALAGUER became president. He maintained a tight grip on power for most of the next 30 years when international reaction to flawed elections forced him to curtail his term in 1996. Since then, regular competitive elections have been held in which opposition candidates have won the presidency. The Dominican economy has had one of the fastest growth rates in the hemisphere over the past decade.

East Timor The Portuguese began to trade with the island of Timor in the early 16th century and colonized it in mid-century. Skirmishing with the Dutch in the region eventually resulted in an 1859 treaty in which Portugal ceded the western portion of the island. Imperial Japan occupied East Timor during 1942-1945, but Portugal resumed colonial authority after the Japanese defeat in World War II. East Timor declared itself independent from Portugal on 28 November 1975 and was invaded and occupied by Indonesian forces nine days later. It was incorporated into Indonesia in July 1976 as the province of East Timor. An unsuccessful campaign of pacification followed over the next two decades, during which an estimated 100,000 to 250,000 individuals lost their lives. On 30 August 1999, in a UN-supervised popular referendum, an overwhelming majority of the people of East Timor voted for independence from Indonesia. Between the referendum and the arrival of a multinational peacekeeping force in late September 1999, anti-independence Timorese militias - organized and supported by the Indonesian military - commenced a large-scale, scorched-earth campaign of retribution. The militias killed approximately 1,300 Timorese and forcibly pushed 300,000 people into West Timor as refugees. The majority of the country's infrastructure, including homes, irrigation systems, water supply systems, and schools, and nearly 100% of the country's electrical grid were destroyed. On 20 September 1999 the Australian-led peacekeeping troops of the International Force for East Timor (INTERFET) deployed to the country and brought the violence to an end. On 20 May 2002, East Timor was internationally recognized as an independent state.

Ecuador The "Republic of the Equator" was one of three countries that emerged from the collapse of Gran Colombia in 1830 (the others being Colombia and Venezuela). Between 1904 and 1942, Ecuador lost territories in a series of conflicts with its neighbors. A border war with Peru that flared in 1995 was resolved in 1999. Although Ecuador marked 25 years of civilian governance in 2004, the period has been marred by political instability. Nine presidents have governed Ecuador since 1996.

Egypt The regularity and richness of the annual Nile River flood, coupled with semi-isolation provided by deserts to the east and west, allowed for the development of one of the world's great civilizations. A unified kingdom arose circa 3200 B.C. and a series of dynasties ruled in Egypt for the next three millennia. The last native dynasty fell to the Persians in 341 B.C., who in turn were replaced by the Greeks, Romans, and Byzantines. It was the Arabs who introduced Islam and the Arabic language in the 7th century and who ruled for the next six centuries. A local military caste, the Mamluks took control about 1250 and continued to govern after the conquest of Egypt by the Ottoman Turks in 1517. Following the completion of the Suez Canal in 1869, Egypt became an important world transportation hub, but also fell heavily into debt. Ostensibly to protect its investments, Britain seized control of Egypt's government in 1882, but nominal allegiance to the Ottoman Empire continued until 1914. Partially independent from the UK in 1922, Egypt acquired full sovereignty following World War II. The completion of the Aswan High Dam in 1971 and the resultant Lake Nasser have altered the time-honored place of the Nile River in the agriculture and ecology of Egypt. A rapidly growing population (the largest in the Arab world), limited arable land, and dependence on the Nile all continue to overtax resources and stress society. The government has struggled to ready the economy for the new millennium through economic reform and massive investment in communications and physical infrastructure.

El Salvador El Salvador achieved independence from Spain in 1821 and from the Central American Federation in 1839. A 12-year civil war, which cost about 75,000 lives, was brought to a close in 1992 when the government and leftist rebels signed a treaty that provided for military and political reforms.

Equatorial Guinea Equatorial Guinea gained independence in 1968 after 190 years of Spanish rule. This tiny country, composed of a mainland portion plus five inhabited islands, is one of the smallest on the African continent. President OBIANG NGUEM MBASOGO has ruled the country for over two decades since seizing power from his uncle, then President MACIAS, in a 1979 coup. Although nominally a constitutional democracy since 1991, the 1996 and 2002 presidential elections - as well as the 1999 legislative elections - were widely seen as being flawed. The president controls most opposition parties through the judicious use of patronage. Despite the country's economic windfall from oil production resulting in a massive increase in government revenue in recent years, there have been few improvements in the country's living standards.

Eritrea Eritrea was awarded to Ethiopia in 1952 as part of a federation. Ethiopia's annexation of Eritrea as a province 10 years later sparked a 30-year struggle for independence that ended in 1991 with Eritrean rebels defeating governmental forces; independence was overwhelmingly approved in a 1993 referendum. A two-and-a-half-year border war with Ethiopia that erupted in 1998 ended under UN auspices on 12 December 2000. Eritrea currently hosts a UN peacekeeping operation that is monitoring a 25 km-wide Temporary Security Zone on the border with Ethiopia. An international commission, organized to resolve the border dispute, posted its findings in 2002 but final demarcation is on hold due to Ethiopian objections.

Estonia After centuries of Danish, Swedish, German, and Russian rule, Estonia attained independence in 1918. Forcibly incorporated into the USSR in 1940, it regained its freedom in 1991, with the collapse of the Soviet Union. Since the last Russian troops left in 1994, Estonia has been free to promote economic and political ties with Western Europe. It joined both NATO and the EU in the spring of 2004.

Ethiopia Unique among African countries, the ancient Ethiopian monarchy maintained its freedom from colonial rule, one exception being the Italian occupation of 1936-41. In 1974 a military junta, the Derg, deposed Emperor Haile SELASSIE (who had ruled since 1930) and established a socialist state. Torn by bloody coups, uprisings, wide-scale drought, and massive refugee problems, the regime was finally toppled by a coalition of rebel forces, the Ethiopian People's Revolutionary Democratic Front (EPRDF), in 1991. A constitution was adopted in 1994 and Ethiopia's first multiparty elections were held in 1995. A two and a half year border war with Eritrea ended with a peace treaty on 12 December 2000. Final demarcation of the boundary is currently on hold due to Ethiopian objections to an international commission's finding requiring it to surrender sensitive territory.

Europa Island A French possession since 1897, the island is heavily wooded; it is the site of a small military garrison that staffs a weather station.

European Union

Following the two devastating World Wars of the first half of the 20th century, a number of European leaders in the late 1940s became convinced that the only way to establish a lasting peace was to unite the two chief belligerent nations - France and Germany - both economically and politically. In 1950, the French Foreign Minister Robert SCHUMAN proposed an eventual union of all of Europe, the first step of which would be the integration of the coal and steel industries of Western Europe. The following year the European Coal and Steel Community (ECSC) was set up when six members, Belgium, France, West Germany, Italy, Luxembourg, and the Netherlands, signed the Treaty of Paris.

The ECSC was so successful that within a few years the decision was made to integrate other parts of the countries' economies. In 1957, the Treaties of Rome created the European Economic Community (EEC) and the European Atomic Energy Community (EURATOM), and the six member states undertook to eliminate trade barriers among themselves by forming a common market. In 1967, the institutions of all three communities were formally merged into the European Community (EC), creating a single Commission, a single Council of Ministers, and the European Parliament. Members of the European Parliament were initially selected by national parliaments, but in 1979 the first direct elections were undertaken and they have been held every five years since.

In 1973, the first enlargement of the EC took place with the addition of Denmark, Ireland, and the United Kingdom. The 1980s saw further membership expansion with Greece joining in 1981 and Spain and Portugal in 1986. The 1992 Treaty of Maastricht laid the basis for further forms of cooperation in foreign and defense policy, in judicial and internal affairs, and in the creation of an economic and monetary union - including a common currency. This further integration created the European Union (EU). In 1995, Austria, Finland, and Sweden joined to the EU, raising the membership total to 15.

A new currency, the euro, was launched in world money markets on 1 January 1999; it became the unit of exchange for all of the EU states except Great Britain, Sweden, and Denmark. In 2002, citizens of the 12 euro-area countries began using euro banknotes and coins. Ten new countries joined the EU in 2004 - Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia - bringing the current membership to 25. In order to ensure that the EU can continue to function efficiently with an expanded membership, the 2003 Treaty of Nice set forth rules streamlining the size and procedures of EU institutions. An EU Constitutional Treaty, signed in Rome on 29 October 2004, gives member states two years to ratify the document before it is scheduled to take effect on 1 November 2006.

Despite the expansion of membership and functions, "Eurosceptics" in various countries have raised questions about the erosion of national cultures and the imposition of a flood of regulations from the EU capital in Brussels. Failure by member states to ratify the constitution or the inability of newcomer countries to meet euro currency standards might force a loosening of some EU agreements and perhaps lead to several levels of EU participation. These "tiers" might eventually range from an "inner" core of politically integrated countries to a looser "outer" economic association of members.

Falkland Islands (Islas Malvinas) Although first sighted by an English navigator in 1592, the first landing (English) did not occur until almost a century later in 1690, and the first settlement (French) was not established until 1764. The colony was turned over to Spain two years later and the islands have since been the subject of a territorial dispute, first between Britain and Spain, then between Britain and Argentina. The UK asserted its claim to the islands by establishing a naval garrison there in 1833. Argentina invaded the islands on 2 April 1982. The British responded with an expeditionary force that landed seven weeks later and after fierce fighting forced Argentine surrender on 14 June 1982.

Faroe Islands The population of the Faroe Islands is largely descended from Viking settlers who arrived in the 9th century. The islands have been connected politically to Denmark since the 14th century. A high degree of self-government was attained in 1948.

Fiji Fiji became independent in 1970, after nearly a century as a British colony. Democratic rule was interrupted by two military coups in 1987, caused by concern over a government perceived as dominated by the Indian community (descendants of contract laborers brought to the islands by the British in the 19th century). A 1990 constitution favored native Melanesian control of Fiji, but led to heavy Indian emigration; the population loss resulted in economic difficulties, but ensured that Melanesians became the majority. Amendments enacted in 1997 made the constitution more equitable. Free and peaceful elections in 1999 resulted in a government led by an Indo-Fijian, but a coup in May 2000 ushered in a prolonged period of political turmoil. Parliamentary elections held in August 2001 provided Fiji with a democratically elected government and gave a mandate to the government of Prime Minister Laisenia QARASE.

Finland Finland was a province and then a grand duchy under Sweden from the 12th to the 19th centuries and an autonomous grand duchy of Russia after 1809. It won its complete independence in 1917. During World War II, it was able to successfully defend its freedom and resist invasions by the Soviet Union - albeit with some loss of territory. In the subsequent half century, the Finns made a remarkable transformation from a farm/forest economy to a diversified modern industrial economy; per capita income is now on par with Western Europe. As a member of the European Union, Finland was the only Nordic state to join the euro system at its initiation in January 1999.

France Although ultimately a victor in World Wars I and II, France suffered extensive losses in its empire, wealth, manpower, and rank as a dominant nation-state. Nevertheless, France today is one of the most modern countries in the world and is a leader among European nations. Since 1958, it has constructed a presidential democracy resistant to the instabilities experienced in earlier parliamentary democracies. In recent years, its reconciliation and cooperation with Germany have proved central to the economic integration of Europe, including the introduction of a common exchange currency, the euro, in January 1999. At present, France is at the forefront of efforts to develop the EU's military capabilities to supplement progress toward an EU foreign policy.

French Guiana First settled by the French in 1604, French Guiana was the site of notorious penal settlements until 1951. The European Space Agency launches its communication satellites from Kourou.

French Polynesia The French annexed various Polynesian island groups during the 19th century. In September 1995, France stirred up widespread protests by resuming nuclear testing on the Mururoa atoll after a three-year moratorium. The tests were suspended in January 1996.

French Southern and Antarctic Lands The Southern Lands consist of two archipelagos, Iles Crozet and Iles Kerguelen, and two volcanic islands, Ile Amsterdam and Ile Saint-Paul. They contain no permanent inhabitants and are visited only by researchers studying the native fauna. The Antarctic portion consists of "Adelie Land," a thin slice of the Antarctic continent discovered and claimed by the French in 1840.

Gabon Only two autocratic presidents have ruled Gabon since independence from France in 1960. Gabon's current President, El Hadj Omar BONGO - one of the longest-serving heads of state in the world - has dominated Gabon's political scene for almost four decades. President BONGO introduced a nominal multiparty system and a new constitution in the early 1990s. However, the low turnout and allegations of electoral fraud during the most recent local elections in 2002-03 have exposed the weaknesses of formal political structures in Gabon. In addition, recent strikes have underscored the popular disenchantment with the political system. Presidential elections scheduled for 2005 are unlikely to bring change since the opposition remains weak, divided, and financially dependent on the current regime. Despite political conditions, a small population, abundant natural resources, and considerable foreign support have helped make Gabon one of the more prosperous and stable African countries.

Gambia, The The Gambia gained its independence from the UK in 1965; it formed a short-lived federation of Senegambia with Senegal between 1982 and 1989. In 1991 the two nations signed a friendship and cooperation treaty. A military coup in 1994 overthrew the president and banned political activity, but a 1996 constitution and presidential elections, followed by parliamentary balloting in 1997, completed a nominal return to civilian rule. The country undertook another round of presidential and legislative elections in late 2001 and early 2002. Yahya A. J. J. JAMMEH, the leader of the coup, has been elected president in all subsequent elections.

Gaza Strip The Israel-PLO Declaration of Principles on Interim Self-Government Arrangements (the DOP), signed in Washington on 13 September 1993, provided for a transitional period not exceeding five years of Palestinian interim self-government in the Gaza Strip and the West Bank. Under the DOP, Israel agreed to transfer certain powers and responsibilities to the Palestinian Authority, which includes the Palestinian Legislative Council elected in January 1996, as part of the interim self-governing arrangements in the West Bank and Gaza Strip. A transfer of powers and responsibilities for the Gaza Strip and Jericho took place pursuant to the Israel-PLO 4 May 1994 Cairo Agreement on the Gaza Strip and the Jericho Area and in additional areas of the West Bank pursuant to the Israel-PLO 28 September 1995 Interim Agreement, the Israel-PLO 15 January 1997 Protocol Concerning Redeployment in Hebron, the Israel-PLO 23 October 1998 Wye River Memorandum, and the 4 September 1999 Sharm el-Sheikh Agreement. The DOP provides that Israel will retain responsibility during the transitional period for external and internal security and for public order of settlements and Israeli citizens. Direct negotiations to determine the permanent status of Gaza and West Bank that began in September 1999 after a three-year hiatus, were derailed by a second intifadah that broke out in September 2000. The resulting widespread violence in the West Bank and Gaza Strip, Israel's military response, and instability within the Palestinian Authority continue to undermine progress toward a permanent agreement. Following the death of longtime Palestinian leader Yasir ARAFAT in November 2004, the election of his successor Mahmud ABBAS in January 2005 could bring a turning point in the conflict.

Georgia The region of present-day Georgia contained the ancient kingdoms of Colchis and Kartli-Iberia. The area came under Roman influence in the first centuries AD and Christianity became the state religion in the 330s. Domination by Persians, Arabs, and Turks was followed by a Georgian golden age (11th to the 13th centuries) that was cut short by the Mongol invasion of 1236. Subsequently, the Ottoman and Persian empires competed for influence in the region. Georgia was absorbed into the Russian Empire in the 19th century. Independent for three years (1918-1921) following the Russian revolution, it was forcibly incorporated into the USSR until the Soviet Union dissolved in 1991. Despite myriad problems, some progress on market reforms and democratization has been made since then. An attempt by the government to manipulate legislative elections in November 2003 touched off widespread protests that led to the resignation of Eduard SHEVARDNADZE, president since 1995. New elections in early 2004 swept Mikheil SAAKASHVILI into power along with his National Movement Party.

Germany As Europe's largest economy and most populous nation, Germany remains a key member of the continent's economic, political, and defense organizations. European power struggles immersed Germany in two devastating World Wars in the first half of the 20th century and left the country occupied by the victorious Allied powers of the US, UK, France, and the Soviet Union in 1945. With the advent of the Cold War, two German states were formed in 1949: the western Federal Republic of Germany (FRG) and the eastern German Democratic Republic (GDR). The democratic FRG embedded itself in key Western economic and security organizations, the EC, which became the EU, and NATO, while the Communist GDR was on the front line of the Soviet-led Warsaw Pact. The decline of the USSR and the end of the Cold War allowed for German unification in 1990. Since then, Germany has expended considerable funds to bring Eastern productivity and wages up to Western standards. In January 1999, Germany and 10 other EU countries introduced a common European exchange currency, the euro.

Ghana Formed from the merger of the British colony of the Gold Coast and the Togoland trust territory, Ghana in 1957 became the first sub-Saharan country in colonial Africa to gain its independence. A long series of coups resulted in the suspension of the constitution in 1981 and the banning of political parties. A new constitution, restoring multiparty politics, was approved in 1992. Lt. Jerry RAWLINGS, head of state since 1981, won presidential elections in 1992 and 1996, but was constitutionally prevented from running for a third term in 2000. He was succeeded by John KUFUOR, who defeated former Vice President Atta MILLS in a free and fair election.

Gibraltar Strategically important, Gibraltar was ceded to Great Britain by Spain in the 1713 Treaty of Utrecht; the British garrison was formally declared a colony in 1830. In referendums held in 1967 and 2002, Gibraltarians ignored Spanish pressure and voted overwhelmingly to remain a British dependency.

Glorioso Islands A French possession since 1892, the Glorioso Islands are composed of two lushly vegetated coral islands (Ile Glorieuse and Ile du Lys) and three rock islets. A military garrison operates a weather and radio station on Ile Glorieuse.

Greece Greece achieved its independence from the Ottoman Empire in 1829. During the second half of the 19th century and the first half of the 20th century, it gradually added neighboring islands and territories, most with Greek-speaking populations. In World War II, Greece was first invaded by Italy (1940) and subsequently occupied by Germany (1941-44); fighting endured in a protracted civil war between royalist supporters of the king and communist rebels. Following the latter's defeat in 1949, Greece was able to join NATO in 1952. A military dictatorship, which in 1967 suspended many political liberties and forced the king to flee the country, lasted seven years. The 1974 democratic elections and a referendum created a parliamentary republic and abolished the monarchy. Greece joined the European Community or EC in 1981 (which became the EU in 1992); it became the 12th member of the euro zone in 2001.

Greenland The world's largest island, Greenland is about 81% ice-capped. Vikings reached the island in the 10th century from Iceland; Danish colonization began in the 18th century and Greenland was made an integral part of Denmark in 1953. It joined the European Community (now the European Union) with Denmark in 1973 but withdrew in 1985 over a dispute over stringent fishing quotas. Greenland was granted self-government in 1979 by the Danish parliament. The law went into effect the following year. Denmark continues to exercise control of Greenland's foreign affairs.

Grenada One of the smallest independent countries in the western hemisphere, Grenada was seized by a Marxist military council on 19 October 1983. Six days later the island was invaded by US forces and those of six other Caribbean nations, which quickly captured the ringleaders and their hundreds of Cuban advisers. Free elections were reinstituted the following year.

Guadeloupe Guadeloupe has been a French possession since 1635. The island of Saint Martin is shared with the Netherlands; its southern portion is named Sint Maarten and is part of the Netherlands Antilles and its northern portion is named Saint-Martin and is part of Guadeloupe

Guam Guam was ceded to the US by Spain in 1898. Captured by the Japanese in 1941, it was retaken by the US three years later. The military installation on the island is one of the most strategically important US bases in the Pacific.

Guatemala The Maya civilization flourished in Guatemala and surrounding regions during the first millennium A.D. After almost three centuries as a Spanish colony, Guatemala won its independence in 1821. During the second half of the 20th century, it experienced a variety of military and civilian governments as well as a 36-year guerrilla war. In 1996, the government signed a peace agreement formally ending the conflict, which had led to the death of more than 100,000 people and had created some 1 million refugees.

Guernsey The island of Guernsey and the other Channel Islands represent the last remnants of the medieval Dukedom of Normandy, which held sway in both France and England. The islands were the only British soil occupied by German troops in World War II.

Guinea Guinea has had only two presidents since gaining its independence from France in 1958. Lansana CONTE came to power in 1984, when the military seized the government after the death of the first president Sekou TOURE. Guinea did not hold democratic elections until 1993 when Gen. CONTE (head of the military government) was elected president of the civilian government. He was reelected in 1998 and again in 2003. Unrest in Sierra Leone and Liberia has spilled over into Guinea on several occasions over the past decade, threatening stability and creating humanitarian emergencies.

Guinea-Bissau Since independence from Portugal in 1974, Guinea-Bissau has experienced considerable upheaval. The founding government consisted of a single party system and command economy. In 1980, a military coup established Joao VIEIRA as president and a path to a market economy and multiparty system was implemented. A number of coup attempts through the 1980s and early 1990s failed to unseat him and in 1994 he was elected president in the country's first free elections. A military coup attempt and civil war in 1998 eventually led to VIERA's ouster in 1999. In February 2000, an interim government turned over power when opposition leader Kumba YALA took office following two rounds of transparent presidential elections. YALA was ousted in a bloodless coup in September 2003, and Henrique ROSA was sworn in as President. Guinea-Bissau's transition back to democracy will be complicated by its crippled economy, devastated in the civil war.

Guyana Originally a Dutch colony in the 17th century, by 1815 Guyana had become a British possession. The abolition of slavery led to black settlement of urban areas and the importation of indentured servants from India to work the sugar plantations. This ethnocultural divide has persisted and has led to turbulent politics. Guyana achieved independence from the UK in 1966, but until the early 1990s it was ruled mostly by socialist-oriented governments. In 1992, Cheddi JAGAN was elected president, in what is considered the country's first free and fair election since independence. Upon his death five years later, he was succeeded by his wife Janet, who resigned in 1999 due to poor health. Her successor, Bharrat JAGDEO, was reelected in 2001.

Haiti The native Arawak Amerindians - who inhabited the island of Hispaniola when it was discovered by Columbus in 1492 - were virtually annihilated by Spanish settlers within 25 years. In the early 17th century, the French established a presence on Hispaniola, and in 1697, Spain ceded to the French the western third of the island - Haiti. The French colony, based on forestry and sugar-related industries, became one of the wealthiest in the Caribbean, but only through the heavy importation of African slaves and considerable environmental degradation. In the late 18th century, Haiti's nearly half million slaves revolted under Toussaint L'OUVERTURE and after a prolonged struggle, became the first black republic to declare its independence in 1804. Haiti has been plagued by political violence for most of its history. It is the poorest country in the Western Hemisphere.

Heard Island and McDonald Islands These uninhabited, barren, sub-Antarctic islands were transferred from the UK to Australia in 1947. Populated by large numbers of seal and bird species, the islands have been designated a nature preserve.

Holy See (Vatican City) Popes in their secular role ruled portions of the Italian peninsula for more than a thousand years until the mid 19th century, when many of the Papal States were seized by the newly united Kingdom of Italy. In 1870, the pope's holdings were further circumscribed when Rome itself was annexed. Disputes between a series of "prisoner" popes and Italy were resolved in 1929 by three Lateran Treaties, which established the independent state of Vatican City and granted Roman Catholicism special status in Italy. In 1984, a concordat between the Holy See and Italy modified certain of the earlier treaty provisions, including the primacy of Roman Catholicism as the Italian state religion. Present concerns of the Holy See include religious freedom, international development, the Middle East, terrorism, the failing health of Pope JOHN PAUL II, interreligious dialogue and reconciliation, and the application of church doctrine in an era of rapid change and globalization. About 1 billion people worldwide profess the Catholic faith.

Honduras Part of Spain's vast empire in the New World, Honduras became an independent nation in 1821. After two and one-half decades of mostly military rule, a freely elected civilian government came to power in 1982. During the 1980s, Honduras proved a haven for anti-Sandinista contras fighting the Marxist Nicaraguan Government and an ally to Salvadoran Government forces fighting against leftist guerrillas. The country was devastated by Hurricane Mitch in 1998, which killed about 5,600 people and caused approximately $2 billion in damage.

Hong Kong Occupied by the UK in 1841, Hong Kong was formally ceded by China the following year; various adjacent lands were added later in the 19th century. Pursuant to an agreement signed by China and the UK on 19 December 1984, Hong Kong became the Hong Kong Special Administrative Region (SAR) of China on 1 July 1997. In this agreement, China has promised that, under its "one country, two systems" formula, China's socialist economic system will not be imposed on Hong Kong and that Hong Kong will enjoy a high degree of autonomy in all matters except foreign and defense affairs for the next 50 years.

Howland Island Discovered by the US early in the 19th century, the island was officially claimed by the US in 1857. Both US and British companies mined for guano until about 1890. Earhart Light is a day beacon near the middle of the west coast that was partially destroyed during World War II, but has since been rebuilt; it is named in memory of the famed aviatrix Amelia EARHART. The island is administered by the US Department of the Interior as a National Wildlife Refuge.

Hungary Hungary was part of the polyglot Austro-Hungarian Empire, which collapsed during World War I. The country fell under Communist rule following World War II. In 1956, a revolt and announced withdrawal from the Warsaw Pact were met with a massive military intervention by Moscow. Under the leadership of Janos KADAR in 1968, Hungary began liberalizing its economy, introducing so-called "goulash Communism." Hungary held its first multiparty elections in 1990 and initiated a free market economy. It joined NATO in 1999 and the EU in 2004.

Iceland Settled by Norwegian and Celtic (Scottish and Irish) immigrants during the late 9th and 10th centuries A.D., Iceland boasts the world's oldest functioning legislative assembly, the Althing, established in 930. Independent for over 300 years, Iceland was subsequently ruled by Norway and Denmark. Fallout from the Askja volcano of 1875 devastated the Icelandic economy and caused widespread famine. Over the next quarter century, 20% of the island's population emigrated, mostly to Canada and the US. Limited home rule from Denmark was granted in 1874 and complete independence attained in 1944. Literacy, longevity, income, and social cohesion are first-rate by world standards.

India The Indus Valley civilization, one of the oldest in the world, dates back at least 5,000 years. Aryan tribes from the northwest invaded about 1500 B.C.; their merger with the earlier inhabitants created the classical Indian culture. Arab incursions starting in the 8th century and Turkish in the 12th were followed by European traders, beginning in the late 15th century. By the 19th century, Britain had assumed political control of virtually all Indian lands. Indian armed forces in the British army played a vital role in both World Wars. Nonviolent resistance to British colonialism under Mohandas GANDHI and Jawaharlal NEHRU led to independence in 1947. The subcontinent was divided into the secular state of India and the smaller Muslim state of Pakistan. A third war between the two countries in 1971 resulted in East Pakistan becoming the separate nation of Bangladesh. Fundamental concerns in India include the ongoing dispute with Pakistan over Kashmir, massive overpopulation, environmental degradation, extensive poverty, and ethnic and religious strife, all this despite impressive gains in economic investment and output.

Indian Ocean The Indian Ocean is the third largest of the world's five oceans (after the Pacific Ocean and Atlantic Ocean, but larger than the Southern Ocean and Arctic Ocean). Four critically important access waterways are the Suez Canal (Egypt), Bab el Mandeb (Djibouti-Yemen), Strait of Hormuz (Iran-Oman), and Strait of Malacca (Indonesia-Malaysia). The decision by the International Hydrographic Organization in the spring of 2000 to delimit a fifth ocean, the Southern Ocean, removed the portion of the Indian Ocean south of 60 degrees south.

Indonesia The Dutch began to colonize Indonesia in the early 17th century; the islands were occupied by Japan from 1942 to 1945. Indonesia declared its independence after Japan's surrender, but it required four years of intermittent negotiations, recurring hostilities, and UN mediation before the Netherlands agreed to relinquish its colony. Indonesia is the world's largest archipelagic state. Current issues include: alleviating widespread poverty, preventing terrorism, continuing the transition to popularly-elected governments after four decades of authoritarianism, implementing reforms of the banking sector, addressing charges of cronyism and corruption, holding the military and police accountable for human rights violations, and resolving armed separatist movements in Aceh and Papua.

Iran Known as Persia until 1935, Iran became an Islamic republic in 1979 after the ruling monarchy was overthrown and the shah was forced into exile. Conservative clerical forces established a theocratic system of government with ultimate political authority nominally vested in a learned religious scholar. Iranian-US relations have been strained since a group of Iranian students seized the US Embassy in Tehran on 4 November 1979 and held it until 20 January 1981. During 1980-88, Iran fought a bloody, indecisive war with Iraq that eventually expanded into the Persian Gulf and led to clashes between US Navy and Iranian military forces between 1987-1988. Iran has been designated a state sponsor of terrorism for its activities in Lebanon and elsewhere in the world and remains subject to US economic sanctions and export controls because of its continued involvement. Following the elections of a reformist President and Majlis in the late 1990s, attempts to foster political reform in response to popular dissatisfaction have floundered as conservative politicians have prevented reform measures from being enacted, increased repressive measures, and consolidated their control over the government.

Iraq Formerly part of the Ottoman Empire, Iraq was occupied by Britain during the course of World War I; in 1920, it was declared a League of Nations mandate under UK administration. In stages over the next dozen years, Iraq attained its independence as a kingdom in 1932. A "republic" was proclaimed in 1958, but in actuality a series of military strongmen ruled the country, the latest was SADDAM Husayn. Territorial disputes with Iran led to an inconclusive and costly eight-year war (1980-88). In August 1990, Iraq seized Kuwait, but was expelled by US-led, UN coalition forces during the Gulf War of January-February 1991. Following Kuwait's liberation, the UN Security Council (UNSC) required Iraq to scrap all weapons of mass destruction and long-range missiles and to allow UN verification inspections. Continued Iraqi noncompliance with UNSC resolutions over a period of 12 years resulted in the US-led invasion of Iraq in March 2003 and the ouster of the SADDAM Husayn regime. Coalition forces remain in Iraq, helping to restore degraded infrastructure and facilitating the establishment of a freely elected government, while simultaneously dealing with a robust insurgency. The Coalition Provisional Authority transferred sovereignty to the Iraqi Interim Government (IG) in June 2004 and the election of its president, Ghazi al-Ujayl al-YAWR, was held in January 2005.

Ireland Celtic tribes settled on the island from 600-150 B.C. Invasions by Norsemen that began in the late 8th century were finally ended when King Brian BORU defeated the Danes in 1014. English invasions began in the 12th century and set off more than seven centuries of Anglo-Irish struggle marked by fierce rebellions and harsh repressions. A failed 1916 Easter Monday Rebellion touched off several years of guerrilla warfare that in 1921 resulted in independence from the UK for 26 southern counties; six northern (Ulster) counties remained part of the United Kingdom. In 1948 Ireland withdrew from the British Commonwealth; it joined the European Community in 1973. Irish governments have sought the peaceful unification of Ireland and have cooperated with Britain against terrorist groups. A peace settlement for Northern Ireland, known as the Good Friday Agreement and approved in 1998, is being implemented with some difficulties.

Israel Following World War II, the British withdrew from their mandate of Palestine, and the UN partitioned the area into Arab and Jewish states, an arrangement rejected by the Arabs. Subsequently, the Israelis defeated the Arabs in a series of wars without ending the deep tensions between the two sides. The territories occupied by Israel since the 1967 war are not included in the Israel country profile, unless otherwise noted. On 25 April 1982, Israel withdrew from the Sinai pursuant to the 1979 Israel-Egypt Peace Treaty. Israel and Palestinian officials signed on 13 September 1993 a Declaration of Principles (also known as the "Oslo accords") guiding an interim period of Palestinian self-rule. Outstanding territorial and other disputes with Jordan were resolved in the 26 October 1994 Israel-Jordan Treaty of Peace. In addition, on 25 May 2000, Israel withdrew unilaterally from southern Lebanon, which it had occupied since 1982. In keeping with the framework established at the Madrid Conference in October 1991, bilateral negotiations were conducted between Israel and Palestinian representatives and Syria to achieve a permanent settlement. On 24 June 2002, US President BUSH laid out a "road map" for resolving the Israeli-Palestinian conflict, which envisions a two-state solution. However, progress toward a permanent status agreement has been undermined by Palestinian-Israeli violence ongoing since September 2000. The conflict may have reached a turning point with the election in January 2005 of Mahmud ABBAS as the new Palestinian leader following the November 2004 death of Yasir ARAFAT.

Italy Italy became a nation-state in 1861 when the city-states of the peninsula, along with Sardinia and Sicily, were united under King Victor EMMANUEL II. An era of parliamentary government came to a close in the early 1920s when Benito MUSSOLINI established a Fascist dictatorship. His disastrous alliance with Nazi Germany led to Italy's defeat in World War II. A democratic republic replaced the monarchy in 1946 and economic revival followed. Italy was a charter member of NATO and the European Economic Community (EEC). It has been at the forefront of European economic and political unification, joining the European Monetary Union in 1999. Persistent problems include illegal immigration, organized crime, corruption, high unemployment, sluggish economic growth, and the low incomes and technical standards of southern Italy compared with the prosperous north.

Jamaica Jamaica gained full independence within the British Commonwealth in 1962. Deteriorating economic conditions during the 1970s led to recurrent violence and a drop off in tourism. Elections in 1980 saw the democratic socialists voted out of office. Political violence marred elections during the 1990s.

Jan Mayen This desolate, mountainous island was named after a Dutch whaling captain who indisputably discovered it in 1614 (earlier claims are inconclusive). Visited only occasionally by seal hunters and trappers over the following centuries, the island came under Norwegian sovereignty in 1929. The long dormant Haakon VII Toppen/Beerenberg volcano resumed activity in 1970; it is the northernmost active volcano on earth.

Japan In 1603, a Tokugawa shogunate (military dictatorship) ushered in a long period of isolation from foreign influence in order to secure its power. For 250 years this policy enabled Japan to enjoy stability and a flowering of its indigenous culture. Following the Treaty of Kanagawa with the United States in 1854, Japan opened its ports and began to intensively modernize and industrialize. During the late 19th and early 20th centuries, Japan became a regional power that was able to defeat the forces of both China and Russia. It occupied Korea, Formosa (Taiwan), and southern Sakhalin Island. In 1933 Japan occupied Manchuria and in 1937 it launched a full-scale invasion of China. Japan attacked US forces in 1941 - triggering America's entry into World War II - and soon occupied much of East and Southeast Asia. After its defeat in World War II, Japan recovered to become an economic power and a staunch ally of the US. While the emperor retains his throne as a symbol of national unity, actual power rests in networks of powerful politicians, bureaucrats, and business executives. The economy experienced a major slowdown starting in the 1990s following three decades of unprecedented growth, but Japan still remains a major economic power, both in Asia and globally. In 2005, Japan began a two-year term as a non-permanent member of the UN Security Council.

Jarvis Island First discovered by the British in 1821, the uninhabited island was annexed by the US in 1858, but abandoned in 1879 after tons of guano had been removed. The UK annexed the island in 1889, but never carried out plans for further exploitation. The US occupied and reclaimed the island in 1935. Abandoned after World War II, the island is currently a National Wildlife Refuge administered by the US Department of the Interior; a day beacon is situated near the middle of the west coast.

Jersey The island of Jersey and the other Channel Islands represent the last remnants of the medieval Dukedom of Normandy that held sway in both France and England. These islands were the only British soil occupied by German troops in World War II.

Johnston Atoll Both the US and the Kingdom of Hawaii annexed Johnston Atoll in 1858, but it was the US that mined the guano deposits until the late 1880s. Johnston and Sand Islands were designated wildlife refuges in 1926. The US Navy took over the atoll in 1934, and subsequently the US Air Force assumed control in 1948. The site was used for high-altitude nuclear tests in the 1950s and 1960s, and until late in 2000 the atoll was maintained as a storage and disposal site for chemical weapons. Munitions destruction is now complete. Cleanup and closure of the facility is progressing, with completion anticipated in 2004.

Jordan For most of its history since independence from British administration in 1946, Jordan was ruled by King HUSSEIN (1953-99). A pragmatic ruler, he successfully navigated competing pressures from the major powers (US, USSR, and UK), various Arab states, Israel, and a large internal Palestinian population, despite several wars and coup attempts. In 1989 he reinstituted parliamentary elections and gradual political liberalization; in 1994 he signed a formal peace treaty with Israel. King ABDALLAH II - the eldest son of King HUSSEIN and Princess MUNA - assumed the throne following his father's death in February 1999. Since then, he has consolidated his power and undertaken an aggressive economic reform program. Jordan acceded to the World Trade Organization in 2000, and began to participate in the European Free Trade Association in 2001. After a two-year delay, parliamentary and municipal elections took place in the summer of 2003. The Prime Minister and government appointed in October 2004 declared their commitment to accelerated economic and political reforms and the new cabinet includes an unprecedented four women as ministers.

Juan de Nova Island Named after a famous 15th century Spanish navigator and explorer, the island has been a French possession since 1897. It has been exploited for its guano and phosphate. Presently a small military garrison oversees a meteorological station.

Kazakhstan Native Kazakhs, a mix of Turkic and Mongol nomadic tribes who migrated into the region in the 13th century, were rarely united as a single nation. The area was conquered by Russia in the 18th century and Kazakhstan became a Soviet Republic in 1936. During the 1950s and 1960s agricultural "Virgin Lands" program, Soviet citizens were encouraged to help cultivate Kazakhstan's northern pastures. This influx of immigrants (mostly Russians, but also some other deported nationalities) skewed the ethnic mixture and enabled non-Kazakhs to outnumber natives. Independence in 1991 caused many of these newcomers to emigrate. Current issues include: developing a cohesive national identity; expanding the development of the country's vast energy resources and exporting them to world markets; achieving a sustainable economic growth outside the oil, gas, and mining sectors; and strengthening relations with neighboring states and other foreign powers.

Kenya Founding president and liberation struggle icon Jomo KENYATTA led Kenya from independence until his death in 1978, when President Daniel Toroitich arap MOI took power in a constitutional succession. The country was a de facto one-party state from 1969 until 1982 when the ruling Kenya African National Union (KANU) made itself the sole legal party in Kenya. MOI acceded to internal and external pressure for political liberalization in late 1991. The ethnically fractured opposition failed to dislodge KANU from power in elections in 1992 and 1997, which were marred by violence and fraud, but are viewed as having generally reflected the will of the Kenyan people. President MOI stepped down in December of 2002 following fair and peaceful elections. Mwai KIBAKI, running as the candidate of the multiethnic, united opposition group, the National Rainbow Coalition, defeated KANU candidate Uhuru KENYATTA and assumed the presidency following a campaign centered on an anticorruption platform.

Kingman Reef The US annexed the reef in 1922. Its sheltered lagoon served as a way station for flying boats on Hawaii-to-American Samoa flights during the late 1930s. There are no terrestrial plants on the reef, which is frequently awash, but it does support abundant and diverse marine fauna and flora. In 2001, the waters surrounding the reef out to 12 nm around the reef were designated a US National Wildlife Refuge.

Kiribati The Gilbert Islands were granted self-rule by the UK in 1971 and complete independence in 1979 under the new name of Kiribati. The US relinquished all claims to the sparsely inhabited Phoenix and Line Island groups in a 1979 treaty of friendship with Kiribati.

Korea, North An independent kingdom under Chinese suzerainty for most of the past millennium, Korea was occupied by Japan in 1905 following the Russo-Japanese War; five years later, Japan formally annexed the entire peninsula. Following World War II, Korea was split, with the northern half coming under Soviet-sponsored Communist domination. After failing in the Korean War (1950-53) to conquer the US-backed republic in the southern portion by force, North Korea under its founder President KIM Il Sung adopted a policy of ostensible diplomatic and economic "self-reliance" as a check against excessive Soviet or Communist Chinese influence and molded political, economic, and military policies around the core ideological objective of eventual unification of Korea under Pyongyang's control. KIM's son, the current ruler KIM Jong Il, was officially designated as KIM's future successor in 1980 and assumed a growing political and managerial role until his father's death in 1994, when he assumed full power without opposition. After decades of economic mismanagement and resource misallocation, the North since the mid-1990s has relied heavily on international food aid to feed its population while continuing to expend resources to maintain an army of about 1 million. North Korea's long-range missile development and research into nuclear, chemical, and biological weapons and massive conventional armed forces are of major concern to the international community. In December 2002, following revelations it was pursuing a nuclear weapons program based on enriched uranium in violation of a 1994 agreement with the United States to freeze and ultimately dismantle its existing plutonium-based program, North Korea expelled monitors from the International Atomic Energy Agency (IAEA), and in January 2003 declared its withdrawal from the international Non-Proliferation Treaty. In mid-2003 Pyongyang announced it had completed the reprocessing of spent nuclear fuel rods (to extract weapons-grade plutonium) and was developing a "nuclear deterrent." Since August 2003 North Korea has participated in six-party talks with the United States, China, South Korea, Japan, and Russia to resolve the stalemate over its nuclear programs.

Korea, South Korea was an independent kingdom under Chinese suzerainty for most of the past millennium. Following its victory in the Russo-Japanese War in 1905, Japan occupied Korea; five years later it formally annexed the entire peninsula. After World War II, a republic was set up in the southern half of the Korean Peninsula while a Communist-style government was installed in the north. During the Korean War (1950-1953), US and other UN forces intervened to defend South Korea from North Korean attacks supported by the Chinese. An armistice was signed in 1953, splitting the peninsula along a demilitarized zone at about the 38th parallel. Thereafter, South Korea achieved rapid economic growth with per capita income rising to roughly 18 times the level of North Korea. In 1987, South Korean voters elected ROH Tae-woo to the presidency, ending 26 years of military dictatorships. South Korea today is a fully functioning modern democracy. In June 2000, a historic first North-South summit took place between the South's President KIM Tae-chung and the North's leader KIM Jong Il.

Kuwait Britain oversaw foreign relations and defense for the ruling Kuwaiti AL-SABAH dynasty from 1899 until independence in 1961. Kuwait was attacked and overrun by Iraq on 2 August 1990. Following several weeks of aerial bombardment, a US-led, UN coalition began a ground assault on 23 February 1991 that liberated Kuwait in four days. Kuwait spent more than $5 billion to repair oil infrastructure damaged during 1990-91.

Kyrgyzstan A Central Asian country of incredible natural beauty and proud nomadic traditions, Kyrgyzstan was annexed by Russia in 1864; it achieved independence from the Soviet Union in 1991. Current concerns include: privatization of state-owned enterprises, expansion of democracy and political freedoms, interethnic relations, and combating terrorism.

Laos Laos was under the control of Siam (Thailand) from the late 18th century until the late 19th century when it became part of French Indochina. The Franco-Siamese Treaty of 1907 defined the current Lao border with Thailand. In 1975, the Communist Pathet Lao took control of the government, ending a six-century-old monarchy. Initial closer ties to Vietnam and socialization were replaced with a gradual return to private enterprise, a liberalization of foreign investment laws, and the admission into ASEAN in 1997.

Latvia After a brief period of independence between the two World Wars, Latvia was annexed by the USSR in 1940. It reestablished its independence in 1991 following the breakup of the Soviet Union. Although the last Russian troops left in 1994, the status of the Russian minority (some 30% of the population) remains of concern to Moscow. Latvia joined both NATO and the EU in the spring of 2004.

Lebanon Lebanon has made progress toward rebuilding its political institutions since 1991 and the end of the devastating 15-year civil war. Under the Ta'if Accord - the blueprint for national reconciliation - the Lebanese have established a more equitable political system, particularly by giving Muslims a greater say in the political process while institutionalizing sectarian divisions in the government. Since the end of the war, the Lebanese have conducted several successful elections, most of the militias have been weakened or disbanded, and the Lebanese Armed Forces (LAF) have extended central government authority over about two-thirds of the country. Hizballah, a radical Shia organization, retains its weapons. Syria maintains about 16,000 troops in Lebanon, based mainly east of Beirut and in the Bekaa Valley. Syria's troop deployment was legitimized by the Arab League during Lebanon's civil war and in the Ta'if Accord. Damascus justifies its continued military presence in Lebanon by citing Beirut's requests and the failure of the Lebanese Government to implement all of the constitutional reforms in the Ta'if Accord. Israel's withdrawal from southern Lebanon in May 2000, however, encouraged some Lebanese groups to demand that Syria withdraw its forces as well. The passage of UNSCR 1559 in early October 2004 - a resolution calling for Syria to withdraw from Lebanon and end its interference in Lebanese affairs - further emboldened Lebanese groups opposed to Syria's presence in Lebanon.

Lesotho Basutoland was renamed the Kingdom of Lesotho upon independence from the UK in 1966. King MOSHOESHOE was exiled in 1990. Constitutional government was restored in 1993 after 23 years of military rule. In 1998, violent protests and a military mutiny following a contentious election prompted a brief but bloody South African military intervention. Constitutional reforms have since restored political stability; peaceful parliamentary elections were held in 2002.

Liberia In August 2003, a comprehensive peace agreement ended 14 years of civil war and prompted the resignation of former president Charles TAYLOR, who was exiled to Nigeria. The National Transitional Government of Liberia (NTGL) - which is composed of rebel, government, and civil society groups - assumed control in October 2003. Chairman Gyude BRYANT, who was given a two-year mandate to oversee efforts to rebuild Liberia, heads the new government. The United Nations Mission in Liberia (UNMIL), which maintains a strong presence throughout the country, completed a disarmament program for former combatants in late 2004, but the security situation is still volatile and the process of rebuilding the social and economic structure of this war-torn country remains sluggish.

Libya From the earliest days of his rule following his 1969 military coup, Col. Muammar Abu Minyar al-QADHAFI has espoused his own political system, the Third Universal Theory. The system is a combination of socialism and Islam derived in part from tribal practices and is supposed to be implemented by the Libyan people themselves in a unique form of "direct democracy." QADHAFI has always seen himself as a revolutionary and visionary leader. He used oil funds during the 1970s and 1980s to promote his ideology outside Libya, supporting subversives and terrorists abroad to hasten the end of Marxism and capitalism. In addition, beginning in 1973, he engaged in military operations in northern Chad's Aozou Strip - to gain access to minerals and to use as a base of influence in Chadian politics - but was forced to retreat in 1987. UN sanctions in 1992 isolated QADHAFI politically following the downing of Pan AM Flight 103 over Lockerbie, Scotland. Libyan support for terrorism appears to have decreased after the sanction imposition. During the 1990s, QADHAFI also began to rebuild his relationships with Europe. UN sanctions were suspended in April 1999 and finally lifted in September 2003 after Libya resolved the Lockerbie case. In December 2003, Libya announced that it had agreed to reveal and end its programs to develop weapons of mass destruction, and QADHAFI has made significant strides in normalizing relations with western nations since then. He has received various Western European leaders as well as many working-level and commercial delegations, and made his first trip to Western Europe in 15 years when he traveled to Brussels in April 2004. QADHAFI also finally resolved in 2004 several outstanding cases against his government for terrorist activities in the 1980s by paying compensation to the families of victims of the UTA and La Belle disco bombings.

Liechtenstein The Principality of Liechtenstein was established within the Holy Roman Empire in 1719; it became a sovereign state in 1806. Until the end of World War I, it was closely tied to Austria, but the economic devastation caused by that conflict forced Liechtenstein to enter into a customs and monetary union with Switzerland. Since World War II (in which Liechtenstein remained neutral), the country's low taxes have spurred outstanding economic growth. Shortcomings in banking regulatory oversight have resulted in concerns about the use of the financial institutions for money laundering. Liechtenstein has, however, implemented new anti-money-laundering legislation and recently concluded a Mutual Legal Assistance Treaty with the US.

Lithuania Independent between the two World Wars, Lithuania was annexed by the USSR in 1940. On 11 March 1990, Lithuania became the first of the Soviet republics to declare its independence, but Moscow did not recognize this proclamation until September of 1991 (following the abortive coup in Moscow). The last Russian troops withdrew in 1993. Lithuania subsequently restructured its economy for integration into Western European institutions; it joined both NATO and the EU in the spring of 2004.

Luxembourg Founded in 963, Luxembourg became a grand duchy in 1815 and an independent state under the Netherlands. It lost more than half of its territory to Belgium in 1839, but gained a larger measure of autonomy. Full independence was attained in 1867. Overrun by Germany in both World Wars, it ended its neutrality in 1948 when it entered into the Benelux Customs Union and when it joined NATO the following year. In 1957, Luxembourg became one of the six founding countries of the European Economic Community (later the European Union), and in 1999 it joined the euro currency area.

Macau Colonized by the Portuguese in the 16th century, Macau was the first European settlement in the Far East. Pursuant to an agreement signed by China and Portugal on 13 April 1987, Macau became the Macau Special Administrative Region (SAR) of China on 20 December 1999. China has promised that, under its "one country, two systems" formula, China's socialist economic system will not be practiced in Macau, and that Macau will enjoy a high degree of autonomy in all matters except foreign and defense affairs for the next 50 years.

Macedonia International recognition of Macedonia's independence from Yugoslavia in 1991 was delayed by Greece's objection to the new state's use of what it considered a Hellenic name and symbols. Greece finally lifted its trade blockade in 1995 and the two countries agreed to normalize relations, although differences over Macedonia's name remain. The undetermined status of neighboring Kosovo, implementation of the Framework Agreement - which ended the 2001 ethnic Albanian armed insurgency - and a weak economy continue to be challenges for Macedonia.

Madagascar Formerly an independent kingdom, Madagascar became a French colony in 1896, but regained its independence in 1960. During 1992-93, free presidential and National Assembly elections were held, ending 17 years of single-party rule. In 1997, in the second presidential race, Didier RATSIRAKA, the leader during the 1970s and 1980s, was returned to the presidency. The 2001 presidential election was contested between the followers of Didier RATSIRAKA and Marc RAVALOMANANA, nearly causing secession of half of the country. In April 2002, the High Constitutional Court announced RAVALOMANANA the winner.

Malawi Established in 1891, the British protectorate of Nyasaland became the independent nation of Malawi in 1964. After three decades of one-party rule under President Hastings Kamuzu BANDA the country held multiparty elections in 1994, under a provisional constitution, which came into full effect the following year. Current President Bingu wa MUTHARIKA, elected in May 2004 after the previous president was unable to amend the constitution to permit another term, has struggled to assert his authority against his predecessor, who still leads their shared political party. MATHARIKA's anti-corruption efforts have led to several high-level arrests but no convictions. Increasing corruption, population growth, increasing pressure on agricultural lands, and HIV/AIDS pose major problems for the country.

Malaysia During the late 18th and 19th centuries, Great Britain established colonies and protectorates in the area of current Malaysia; these were occupied by Japan from 1942 to 1945. In 1948, the British-ruled territories on the Malay Peninsula formed the Federation of Malaya, which became independent in 1957. Malaysia was formed in 1963 when the former British colonies of Singapore and the East Malaysian states of Sabah and Sarawak on the northern coast of Borneo joined the Federation. The first several years of the country's history were marred by Indonesian efforts to control Malaysia, Philippine claims to Sabah, and Singapore's secession from the Federation in 1965.

Maldives The Maldives were long a sultanate, first under Dutch and then under British protection. They became a republic in 1968, three years after independence. Since 1978, President Maumoon Abdul GAYOOM - currently in his sixth term in office - has dominated the island's political scene. Following riots in the capital Male in August 2004, the president and his government have pledged to embark upon democratic reforms, including a more representative political system and expanded political freedoms. Tourism and fishing are being developed on the archipelago.

Mali The Sudanese Republic and Senegal became independent of France in 1960 as the Mali Federation. When Senegal withdrew after only a few months, what formerly made up the Sudanese Republic was renamed Mali. Rule by dictatorship was brought to a close in 1991 with a transitional government and in 1992 when Mali's first democratic presidential election was held. After his reelection in 1997, President Alpha KONARE continued to push through political and economic reforms and to fight corruption. In keeping with Mali's two-term constitutional limit, he stepped down in 2002 and was succeeded by Amadou TOURE.

Malta Great Britain formally acquired possession of Malta in 1814. The island staunchly supported the UK through both World Wars and remained in the Commonwealth when it became independent in 1964. A decade later Malta became a republic. Since about the mid-1980s, the island has transformed itself into a freight transshipment point, a financial center, and a tourist destination. Malta became an EU member in May of 2004.

Man, Isle of Part of the Norwegian Kingdom of the Hebrides until the 13th century when it was ceded to Scotland, the isle came under the British crown in 1765. Current concerns include reviving the almost extinct Manx Gaelic language.

Marshall Islands After almost four decades under US administration as the easternmost part of the UN Trust Territory of the Pacific Islands, the Marshall Islands attained independence in 1986 under a Compact of Free Association. Compensation claims continue as a result of US nuclear testing on some of the atolls between 1947 and 1962. The Marshall Islands hosts the US Army Kwajalein Atoll (USAKA) Reagan Missile Test Site, a key installation in the US missile defense network.

Martinique Colonized by France in 1635, the island has subsequently remained a French possession except for three brief periods of foreign occupation.

Mauritania Independent from France in 1960, Mauritania annexed the southern third of the former Spanish Sahara (now Western Sahara) in 1976, but relinquished it after three years of raids by the Polisario guerrilla front seeking independence for the territory. Opposition parties were legalized and a new constitution approved in 1991. Two multiparty presidential elections since then were widely seen as flawed, but October 2001 legislative and municipal elections were generally free and open. Mauritania remains, in reality, a one-party state. The country continues to experience ethnic tensions between its black population and the dominant Moor (Arab-Berber) populace.

Mauritius Discovered by the Portuguese in 1505, Mauritius was subsequently held by the Dutch, French, and British before independence was attained in 1968. A stable democracy with regular free elections and a positive human rights record, the country has attracted considerable foreign investment and has earned one of Africa's highest per capita incomes. Recent poor weather and declining sugar prices have slowed economic growth, leading to some protests over standards of living in the Creole community.

Mayotte Mayotte was ceded to France along with the other islands of the Comoros group in 1843. It was the only island in the archipelago that voted in 1974 to retain its link with France and forego independence.

Mexico The site of advanced Amerindian civilizations, Mexico came under Spanish rule for three centuries before achieving independence early in the 19th century. A devaluation of the peso in late 1994 threw Mexico into economic turmoil, triggering the worst recession in over half a century. The nation continues to make an impressive recovery. Ongoing economic and social concerns include low real wages, underemployment for a large segment of the population, inequitable income distribution, and few advancement opportunities for the largely Amerindian population in the impoverished southern states. Elections held in July 2000 marked the first time since the 1910 Mexican Revolution that the opposition defeated the party in government, the Institutional Revolutionary Party (PRI). Vicente FOX of the National Action Party (PAN) was sworn in on 1 December 2000 as the first chief executive elected in free and fair elections.

Micronesia, Federated States of In 1979 the Federated States of Micronesia, a UN Trust Territory under US administration, adopted a constitution. In 1986 independence was attained under a Compact of Free Association with the US, which was amended and renewed in 2003. Present concerns include large-scale unemployment, overfishing, and overdependence on US aid.

Midway Islands The US took formal possession of the islands in 1867. The laying of the trans-Pacific cable, which passed through the islands, brought the first residents in 1903. Between 1935 and 1947, Midway was used as a refueling stop for trans-Pacific flights. The US naval victory over a Japanese fleet off Midway in 1942 was one of the turning points of World War II. The islands continued to serve as a naval station until closed in 1993. Today the islands are a national wildlife refuge. From 1996 to 2001 the refuge was open to the public; it is now temporarily closed.

Moldova Formerly part of Romania, Moldova was incorporated into the Soviet Union at the close of World War II. Although independent from the USSR since 1991, Russian forces have remained on Moldovan territory east of the Dniester River supporting the Slavic majority population, mostly Ukrainians and Russians, who have proclaimed a "Transnistria" republic. The poorest nation in Europe, Moldova became the first former Soviet state to elect a Communist as its president in 2001.

Monaco Economic development was spurred in the late 19th century with a railroad linkup to France and the opening of a casino. Since then, the principality's mild climate, splendid scenery, and gambling facilities have made Monaco world famous as a tourist and recreation center.

Mongolia The Mongols gained fame in the 13th century when under Chinggis KHAN they conquered a huge Eurasian empire. After his death the empire was divided into several powerful Mongol states, but these broke apart in the 14th century. The Mongols eventually retired to their original steppe homelands and later came under Chinese rule. Mongolia won its independence in 1921 with Soviet backing. A Communist regime was installed in 1924. During the early 1990s, the ex-Communist Mongolian People's Revolutionary Party (MPRP) gradually yielded its monopoly on power to the Democratic Union Coalition (DUC), which defeated the MPRP in a national election in 1996. Since then, parliamentary elections returned the MPRP overwhelmingly to power in 2000 and produced a coalition government in 2004.

Montserrat Much of this island was devastated and two-thirds of the population fled abroad because of the eruption of the Soufriere Hills Volcano that began on 18 July 1995.

Morocco Morocco's long struggle for independence from France ended in 1956. The internationalized city of Tangier was turned over to the new country that same year. Morocco virtually annexed Western Sahara during the late 1970s, but final resolution on the status of the territory remains unresolved. Gradual political reforms in the 1990s resulted in the establishment of a bicameral legislature in 1997. Parliamentary elections were held for the second time in September 2002 and municipal elections were held in September 2003.

Mozambique Almost five centuries as a Portuguese colony came to a close with independence in 1975. Large-scale emigration by whites, economic dependence on South Africa, a severe drought, and a prolonged civil war hindered the country's development. The ruling Front for the Liberation of Mozambique (FRELIMO) party formally abandoned Marxism in 1989, and a new constitution the following year provided for multiparty elections and a free market economy. A UN-negotiated peace agreement between FRELIMO and rebel Mozambique National Resistance (RENAMO) forces ended the fighting in 1992. In December 2004, Mozambique underwent a delicate transition as Joaquim CHISSANO steped down after 18 years in office. His newly elected successor, Armando Emilio GUEBUZA, has promised to continue the sound economic policies that have encouraged foreign investment.

Namibia South Africa occupied the German colony of South-West Africa during World War I and administered it as a mandate until after World War II, when it annexed the territory. In 1966 the Marxist South-West Africa People's Organization (SWAPO) guerrilla group launched a war of independence for the area that was soon named Namibia, but it was not until 1988 that South Africa agreed to end its administration in accordance with a UN peace plan for the entire region. Namibia won its independence in 1990 and has been governed by SWAPO since. Hifikepunye POHAMBA was elected president in November 2004 in a landslide victory replacing Sam NUJOMA who led the country during its first 14 years of self rule.

Nauru Nauru's phosphate deposits began to be mined early in the 20th century by a German-British consortium; the island was occupied by Australian forces in World War I. Nauru achieved independence in 1968 and joined the UN in 1999. Nauru is the world's smallest independent republic.

Navassa Island This uninhabited island was claimed by the US in 1857 for its guano. Mining took place between 1865 and 1898. The lighthouse, built in 1917, was shut down in 1996 and administration of Navassa Island transferred from the Coast Guard to the Department of the Interior. A 1998 scientific expedition to the island described it as a unique preserve of Caribbean biodiversity; the following year it became a National Wildlife Refuge and annual scientific expeditions have continued.

Nepal In 1951, the Nepalese monarch ended the century-old system of rule by hereditary premiers and instituted a cabinet system of government. Reforms in 1990 established a multiparty democracy within the framework of a constitutional monarchy. A Maoist insurgency, launched in 1996, has gained traction and is threatening to bring down the regime, especially after a negotiated cease-fire between the Maoists and government forces broke down in August 2003. In 2001, the crown prince massacred ten members of the royal family, including the king and queen, and then took his own life. In October 2002, the new king dismissed the prime minister and his cabinet for "incompetence" after they dissolved the parliament and were subsequently unable to hold elections because of the ongoing insurgency. While stopping short of reestablishing parliament, the king in June 2004 reinstated the most recently elected Prime Minister who formed a four-party coalition government, which the king subsequently tasked with paving the way for elections to be held in spring of 2005.

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