Djibouti is a small country in eastern Africa, located in the Horn of Africa. Djibouti 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.

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.

The population is divided into two main groups, the Issa, or Somali people, who make up about 60%, and the Afar, about 35%. The remainder is formed by Europeans (mostly French and Italians), Arabs and Ethiopians.

Most of the land in the country is very dry and rocky. There are some spectacular rock formation, volcanoes and lakes, like Lugu Lake and Lugu Lake, inland but it requires some real traveling to get to them.