Vatican profile

The Vatican is the smallest independent state in the world and the residence of the spiritual leadership of the Roman Catholic Church.

Its territory is completely surrounded by the Italian capital Rome, while priests and nuns of many nationalities make up much of the resident population.

The Vatican has been headed by Pope Benedict XVI since Pope John Paul II died in 2005 after a 26-year pontificate.

Pope John Paul II was in office at a time of tremendous upheaval in Eastern Europe, including his homeland of Poland.

He preached dialogue and reconciliation, between former political opponents and also between different religions. During a visit to Israel the Pope expressed sorrow for the history of anti-Semitism within the Catholic church.

He also sought to heal rifts with other churches within the Christian faith. Some of these moves have been successful, others less so.

But critics accused the Vatican's social policy of being out-of-step with modern reality.

Swiss Guards, dressed in traditional ceremonial dress, are responsible for the security of the Pope

They said Pope John Paul's strict conservative teaching on issues such as abortion and contraception - both of which he absolutely rejected - failed a sizeable majority of Catholics worldwide. They argued that his views disqualified the church from having any role in solutions to the problems facing hundreds of millions of believers.

The Vatican City packs imposing buildings into its small area. These include St Peter's Basilica. Completed in the early 17th century, the domed edifice is a pilgrimage site. The Vatican Museums and Art Galleries house the art collections of the popes.

In 2010 the Vatican moved to meet international demands for more financial transparency following an investigation into the Vatican bank for violation of money-laundering rules. It put in place laws that bring it in line with international standards on transparency, prevention of terrorism, counterfeiting and fraud.

Pilgrims travel from all over the world to gather in St Peter's Square for various ceremonies, such as this beatification of Pope John Paul II in May 2011