Djibouti (also called Djibouti City and in many early English texts and on many early maps, Jibuti; Arabic: مدينة جيبوتي, French: Ville de Djibouti, Somali: Magaalada Jabuuti, Afar: Magaala Gabuuti) is the eponymous capital and largest city of Djibouti. It is located in the coastal Djibouti Region on the Gulf of Tadjoura.
Djibouti has a population of around 600,000 inhabitants, which counts for 54% of the country's population. The settlement was founded in 1888 by the French, on land leased from the ruling Somali and Afar Sultans. During the ensuing period, it served as the capital of French Somaliland and its successor the French Territory of the Afars and Issas.
Known as the Pearl of the Gulf of Tadjoura due to its location, Djibouti is strategically positioned near the world's busiest shipping lanes and acts as a refueling and transshipment center. The Port of Djibouti is the principal maritime port for imports to and exports from neighboring Ethiopia. Djibouti-Ambouli International Airport is the main domestic airport, connecting the capital to various major global destinations. Djibouti has the second-largest economy of any city in the Horn of Africa after Addis Ababa.