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Monaco, officially the Principality of Monaco, is a small sovereign city-state located in South Western Europe. Monaco is the name of the country as well as the name of its capital city. The territory lies on the northern central coast of the Mediterranean Sea has a land border on three sides only with France and is about 16 kilometers away from Italy. Monaco is often regarded as a tax haven, and many of its inhabitants are wealthy and from foreign countries making up a majority of the population, at around 84%