A country in the Horn of Africa. It is bordered by Eritrea in the north, Ethiopia in the west and south, and Somalia in the southeast. The remainder of the border is formed by the Red Sea and the Gulf of Aden. On the other side of the Red Sea, on the Arabian Peninsula, 20 kilometers from the coast of Djibouti, is Yemen. The country is mainly a stony desert, with scattered plateaus and highlands. The capital of Djibouti is the city of Djibouti.

Djibouti is a hot desert climate, with annual temperatures in the city of Djibouti 30 degrees Celsius (86 Fahrenheit) and average annual rainfall between 127 mm (5 inches) in Djibouti to 380 mm (15 inches) in the mountains.

The economy of Djibouti is based on service activities connected with the country's strategic location and status as a free trade zone in northeast Africa. Two-thirds of the inhabitants live in the capital city, the remainder being mostly nomadic herders. Scant rainfall limits crop production to fruits and vegetables, and most food must be imported.

Major agricultural crops: fruit / vegetables and livestock goats / beauty / sheep

Exports: leather / coffee (transit).

Imports: petroleum products / transport equipment / drinks / chemicals / food.

The most important industries: dairy products / bottled mineral water.