Italian Social Republic
The Italian Social Republic and known as the Republic of Salò, was a German puppet state with limited recognition, created during the part of World War II, existing from the beginning of German occupation of Italy in September 1943 until the surrender of German troops in Italy in May 1945. The Italian Social Republic was the second and last incarnation of the Italian Fascist state and was led by Duce Benito Mussolini and his reformed anti-monarchist Republican Fascist Party which tried to modernise and revise fascist doctrine into a more moderate and sophisticated direction; the state declared Rome its capital, but was de facto centered on Salò, a small town on Lake Garda, near Brescia, where Mussolini and the Ministry of Foreign Affairs were headquartered. The Italian Social Republic exercised nominal sovereignty in Northern and Central Italy, but was dependent on German troops to maintain control. In July 1943, after the Allies had pushed Italy out of North Africa and subsequently invaded Sicily, the Grand Fascist Council—with the support of King Victor Emmanuel III—overthrew and arrested Mussolini.
The new government began secret peace negotiations with the Allied powers. When the Armistice of Cassibile was announced 8 September, Germany was prepared and intervened. Germany seized control of the northern half of Italy, freed Mussolini and brought him to the German-occupied area to establish a satellite regime; the Italian Social Republic was proclaimed on 23 September 1943. Although the RSI claimed sovereignty over most of Italian territory, its de facto jurisdiction only extended to a vastly reduced portion of Italy; the RSI received diplomatic recognition from only Germany and their puppet states. Around 25 April 1945–nineteen months after the RSI's founding–it all but collapsed. In Italy, this day is known as Liberation Day. On this day a general partisan uprising, alongside the efforts of Allied forces during their final offensive in Italy, managed to oust the Germans from Italy entirely. On 27 April, partisans caught Mussolini, his mistress, several RSI ministers and several other Italian Fascists while they were attempting to flee.
On 28 April, the partisans shot most of the other captives. The RSI Minister of Defense Rodolfo Graziani surrendered what was left of the Italian Social Republic on 1 May, one day after the German forces in Italy capitulated, putting a definitive end to the Italian Social Republic. On 24 July 1943, after the Allied landings in Sicily on a motion by Dino Grandi the Grand Fascist Council voted a motion of no confidence in Mussolini. Mussolini's position had been undermined by a series of military defeats from the start of Italy's entry into the war in June 1940, including the bombing of Rome, the loss of the African colonies and the Allied invasions of Sicily and the southern Italian Peninsula; the next day, King Victor Emmanuel III ordered him arrested. By this time, the monarchy, a number of Fascist government members and the general Italian population had grown tired of the futile war effort which had driven Italy into subordination and subjugation under Nazi Germany; the failed war effort left Mussolini humiliated at home and abroad as a "sawdust Caesar".
Under Marshal Pietro Badoglio, the new government began secret negotiations with the Allied powers and made preparations for the capitulation of Italy. These surrender talks implied a commitment from Badoglio not only to leave the Axis alliance, but to have Italy declare war on Germany. While the Germans formally recognised the new status quo in Italian politics, they intervened by sending some of the best units of the Wehrmacht to Italy; this was done both to resist new Allied advances and to face the predictably imminent defection of Italy. While Badoglio continued to swear loyalty to Germany and the Axis powers, Italian government emissaries prepared to sign an armistice at Cassibile in Allied-occupied Sicily, finalized on 3 September. On 8 September, Badoglio announced Italy's armistice with the Allies. German Führer Adolf Hitler and his staff, long aware of the negotiations, acted by ordering German troops to seize control of Northern and Central Italy; the Germans disarmed the Italian troops and took over all of the Italian Army's materials and equipment.
The Germans dissolved the Italian occupation zone in southeastern France and forced Italian troops stationed there to leave. The Italian armed forces were not given clear orders to resist the Germans following the armistice and so resistance to the German takeover was scattered and of little effect. King Victor Emmanuel made no effort to rally resistance to the Germans, instead fleeing with his retinue to the safety of the Allied lines; the new Italian government had moved Mussolini from place to place while he was in captivity in an attempt to foil any attempts at rescue. Despite this, the Germans pinpointed Mussolini at the Campo Imperatore Hotel at Gran Sasso. On 12 September, Mussolini was liberated by the Germans in Operation Eiche in the mountains of Abruzzo, while the Italian carabinieri were placed under orders to not fire their weapons at the raiders, rendering them defenseless. After being liberated, Mussolini was flown to Bavaria. Gathering what support he still had among the Italian population, his liberation made it possible for a new German-dependent Fascist Italian state to be created.
Three days following his rescue in the Gran Sasso raid, Mussolini was taken to
Kingdom of Italy
The Kingdom of Italy was a state which existed from 1861—when King Victor Emmanuel II of Sardinia was proclaimed King of Italy—until 1946—when civil discontent led a constitutional referendum to abandon the monarchy and form the modern Italian Republic. The state was founded as a result of the unification of Italy under the influence of the Kingdom of Sardinia, which can be considered its legal predecessor state. Italy declared war on Austria in alliance with Prussia in 1866 and received the region of Veneto following their victory. Italian troops entered Rome in 1870, thereby ending more than one thousand years of Papal temporal power. Italy entered into a Triple Alliance with Germany and Austria-Hungary in 1882, following strong disagreements with France about the respective colonial expansions; however if relations with Berlin became friendly, the alliance with Vienna remained purely formal as the Italians were keen to acquire Trentino and Trieste, corners of Austria-Hungary populated by Italians.
So in 1915, Italy accepted the British invitation to join the Allied Powers, as the western powers promised territorial compensation for participation, more generous than Vienna's offer in exchange for Italian neutrality. Victory in the war gave Italy a permanent seat in the Council of the League of Nations. "Fascist Italy" is the era of National Fascist Party government from 1922 to 1943 with Benito Mussolini as head of government. The fascists imposed totalitarian rule and crushed the political and intellectual opposition, while promoting economic modernization, traditional social values and a rapprochement with the Roman Catholic Church. According to Payne, " Fascist government passed through several distinct phases"; the first phase was nominally a continuation of the parliamentary system, albeit with a "legally-organized executive dictatorship". Came the second phase, "the construction of the Fascist dictatorship proper, from 1925 to 1929"; the third phase, with less activism, was 1929 to 1934.
The fourth phase, 1935–1940, was characterized by an aggressive foreign policy: war against Ethiopia, launched from Italian Eritrea and Italian Somaliland, which resulted in its annexation. The war itself was the fifth phase with its disasters and defeats, while the rump Salò Government under German control was the final stage. Italy was an important member of the Axis powers in World War II, battling on several fronts with initial success. However, after the German-Italian defeat in Africa and Soviet Union and the subsequent Allied landings in Sicily, King Victor Emmanuel III placed Mussolini under arrest, the Fascist Party in areas controlled by the Allied invaders was shut down; the new government signed an armistice on September 1943. German forces occupied northern Italy with Fascists' help, setting up the Italian Social Republic, a collaborationist puppet state still led by Mussolini and his Fascist loyalists; as conseguence, the country descended into civil war, with the Italian Co-belligerent Army and the resistance movement contended the Social Republic's forces and its German allies.
Shortly after the war and the liberation of the country, civil discontent led to the constitutional referendum of 1946 on whether Italy would remain a monarchy or become a republic. Italians decided to abandon the monarchy and form the Italian Republic, the present-day Italian state; the Kingdom of Italy claimed all of the territory which covers present-day Italy and more. The development of the Kingdom's territory progressed under Italian re-unification until 1870; the state for a long period of time did not include Trieste or Trentino-Alto Adige/Südtirol, which were annexed in 1919 and remain Italian territories today. The Triple Entente promised to grant to Italy – if the state joined the Allies in World War I – several territories including former Austrian Littoral, western parts of former Duchy of Carniola, Northern Dalmazia and notably Zara and most of the Dalmatian islands, according to the secret London Pact of 1915. After the compromise was nullified under pressure of President Woodrow Wilson with the Treaty of Versailles, Italian claims on Northern Dalmazia were voided.
During World War II, the Kingdom gained additional territory: it gained Corsica and Savoia from France after its surrender in 1940, territory in Slovenia and Dalmazia from Yugoslavia after its breakup in 1941 and Monaco in 1942. After World War II, the borders of present-day Italy were founded and the Kingdom abandoned its land claims; the Italian Empire gained territory until the end of World War II through colonies, military occupations and puppet states. These included Eritrea, Italian Somaliland, Ethiopia, British Somaliland, Tunisia, Kosovo, Montenegro and a 46-hectare concession from China in Tianjin; the Kingdom of Italy was theoretically a constitutional monarchy. Executive power belonged to the monarch; the legislative branch was a bicameral Parliament comprising an appointive Senate and an elective Chamber of Deputies. The kingdom's constitution was the Statuto Albertino, the former governing document of the Kingdom of Sardinia. In theory, ministers were responsible to the king. However, by this time it was impossible for a king to appoint a government of his ow
Bank of Italy
The Bank of Italy, known in Italian as Banca d'Italia known as Bankitalia, is the central bank of Italy and part of the European System of Central Banks. It is located in Palazzo Koch, via Rome; the bank's current governor is Ignazio Visco, who took the office on 1 November 2011. After the charge of monetary and exchange rate policies was shifted in 1998 to the European Central Bank, within the European institutional framework, the bank implements the decisions, issues euro banknotes and withdraws and destroys worn pieces; the main function has thus become banking and financial supervision. The objective is to ensure the stability and efficiency of the system and compliance to rules and regulations. Following reform in 2005, prompted by takeover scandals, the bank has lost exclusive antitrust authority in the credit sector, now shared with the Italian Competition Authority. Other functions include, market supervision, oversight of the payment system and provision of settlement services, State treasury service, Central Credit Register, economic analysis and institutional consultancy.
As of 2017 the Bank of Italy owned 2,451.8 tonnes of gold, the third-largest gold reserve in the world. The institution was established in 1893 from the combination of three major banks in Italy; the new central bank first issued bank-notes during 1926. Until 1928, it was directed by a general manager, after this time instead by a governor elected by an internal commission of managers, with a decree from the President of the Italian Republic, for a term of seven years. Giacomo Grillo Giuseppe Marchiori Bonaldo Stringher Bonaldo Stringher Vincenzo Azzolini Luigi Einaudi Donato Menichella Guido Carli Paolo Baffi Carlo Azeglio Ciampi Antonio Fazio Mario Draghi Ignazio Visco The bank's governing bodies are the General Meeting of Shareholders, the board of directors, the governor, the director general and three deputy directors general; the general meeting takes place yearly and with the purpose of approving accounts and appointing the auditors. The board of directors is chaired by the governor. Following reform in 2005, the governor lost exclusive responsibility regarding decisions of external relevance, transferred to the directorate.
The director general is responsible for the day-to-day administration of the bank, acts as governor when absent. The board of auditors assesses the bank's administration and compliance with the law and the statute; the directorate's term of office is renewable once. The appointment of the governor is the responsibility of the government, head of the board of directors, with the approval of the president; the board of directors is elected by the shareholders according to the bank statute. On 25 October 2011, Silvio Berlusconi nominated Ignazio Visco to be the bank's new governor to replace Mario Draghi when he left to become president of the European Central Bank in November. Banca d'Italia had 300,000 shares with a nominal value of €25,000. Scattered around the banks of whole Italy, the shares now accumulated due to the merger of the banks since 1990s; the status of the bank states that a minimum of 54% of profits would go to the Italian government, only a maximum of 6% of profits would distributed as dividends according to shares ratio.
As of 1 December 2016 Banking in Italy Istituto Poligrafico e Zecca dello Stato Commissione Nazionale per le Società e la Borsa Economy of Italy Italian lira eabh Official website
Benito Amilcare Andrea Mussolini was an Italian politician and journalist, the leader of the National Fascist Party. He ruled Italy as Prime Minister from 1922 to 1943. Known as Il Duce, Mussolini was the founder of Italian Fascism. In 1912, Mussolini had been a leading member of the National Directorate of the Italian Socialist Party, but was expelled from the PSI for advocating military intervention in World War I, in opposition to the party's stance on neutrality. Mussolini served in the Royal Italian Army during the war until he was wounded and discharged in 1917. Mussolini denounced the PSI, his views now centering on nationalism instead of socialism and founded the fascist movement which came to oppose egalitarianism and class conflict, instead advocating "revolutionary nationalism" transcending class lines. Following the March on Rome in October 1922, Mussolini became the youngest Prime Minister in Italian history until the appointment of Matteo Renzi in February 2014. After removing all political opposition through his secret police and outlawing labor strikes and his followers consolidated their power through a series of laws that transformed the nation into a one-party dictatorship.
Within five years, Mussolini had established dictatorial authority by both legal and extraordinary means and aspired to create a totalitarian state. In 1929, Mussolini signed the Lateran Treaty with the Vatican, ending decades of struggle between the Italian state and the Papacy, recognized the independence of Vatican City. After the Abyssinia Crisis of 1935–1936, Mussolini invaded Ethiopia in the Second Italo–Ethiopian War; the invasion was condemned by the Western powers and was answered with economic sanctions against Italy. Relations between Germany and Italy improved due to Hitler's support of the invasion. In 1936, Mussolini surrendered Austria to the German sphere of influence, signed the treaty of cooperation with Germany and proclaimed the creation of a Rome–Berlin Axis. From 1936 through 1939, Mussolini provided huge amounts of military support to Franco's forces in the Spanish Civil War; this active intervention further distanced Italy from Britain. Mussolini had sought to delay a major war in Europe, but Germany invaded Poland on 1 September 1939, resulting in declarations of war by France and the UK and the start of World War II.
On 10 June 1940—with the Fall of France imminent—Italy entered the war on the side of Germany, though Mussolini was aware that Italy did not have the military capacity and resources to carry out a long war with the British Empire. He believed that after the imminent French armistice, Italy could gain territorial concessions from France, he could concentrate his forces on a major offensive in North Africa, where British and Commonwealth forces were outnumbered by Italian forces. However, the British government refused to accept proposals for a peace that would involve accepting Axis victories in Eastern and Western Europe. In October 1940, Mussolini sent Italian forces into Greece; the invasion failed and the following Greek counter-offensive pushed the Italians back to occupied Albania. The Greek debacle and simultaneous defeats against the British in North Africa reduced Italy to dependence on Germany. Beginning in June 1941, Mussolini sent Italian forces to participate in the invasion of the Soviet Union, Italy declared war on the United States in December.
In 1943, Italy suffered one disaster after another: by February the Red Army had destroyed the Italian Army in Russia. As a consequence, early on 25 July, the Grand Council of Fascism passed a motion of no confidence for Mussolini. After the king agreed the armistice with the allies, on 12 September 1943 Mussolini was rescued from captivity in the Gran Sasso raid by German paratroopers and Waffen-SS commandos led by Major Otto-Harald Mors. Adolf Hitler, after meeting with the rescued former dictator put Mussolini in charge of a puppet regime in northern Italy, the Italian Social Republic, informally known as the Salò Republic. In late April 1945, in the wake of near total defeat and his mistress Clara Petacci attempted to flee to Switzerland, but both were captured by Italian communist partisans and summarily executed by firing squad on 28 April 1945 near Lake Como, his body was taken to Milan, where it was hung upside down at a service station to publicly confirm his demise. Mussolini was born on 29 July 1883 in Dovia di Predappio, a small town in the province of Forlì in Romagna.
During the Fascist era, Predappio was dubbed "Duce's town" and Forlì was called "Duce's city", with pilgrims going to Predappio and Forlì to see the birthplace of Mussolini. Benito Mussolini's father, Alessandro Mussolini, was a blacksmith and a socialist, while his mother, was a devout Catholic schoolteacher. Owing to his father's political leanings, Mussolini was named Benito after liberal Mexican president Benito Juárez, while his middle names Andrea and Amilcare were from Italian socialists Andrea Costa and Amilcare Cipriani. Benito was the eldest of his parents' three children, his siblings Arnaldo and Edvige fol
Victor Emmanuel II of Italy
Victor Emmanuel II was King of Sardinia from 1849 until 17 March 1861. At that point, he assumed the title of King of Italy and became the first king of a united Italy since the 6th century, a title he held until his death in 1878; the Italians gave him the epithet of Father of the Fatherland. The monument Altare della Patria in Rome was built in his honor. Victor Emmanuel was born as the eldest son of Charles Albert, Prince of Carignano, Maria Theresa of Austria, his father succeeded a distant cousin as King of Sardinia-Piedmont in 1831. He lived for some years of his youth in Florence and showed an early interest in politics, the military, sports. In 1842, he married Adelaide of Austria, he was styled as the Duke of Savoy prior to becoming King of Sardinia-Piedmont. He took part in the First Italian War of Independence under his father, King Charles Albert, fighting in the front line at the battles of Pastrengo, Santa Lucia and Custoza, he became King of Sardinia-Piedmont in 1849 when his father abdicated the throne, after a humiliating military defeat by the Austrians at the Battle of Novara.
Victor Emmanuel was able to obtain a rather favorable armistice at Vignale by the Austrian imperial army commander, Radetzky. The treaty, was not ratified by the Piedmontese lower parliamentary house, the Chamber of Deputies, Victor Emmanuel retaliated by firing his Prime Minister, Claudio Gabriele de Launay, replacing him with Massimo D'Azeglio. After new elections, the peace with Austria was accepted by the new Chamber of Deputies. In 1849, Victor Emmanuel fiercely suppressed a revolt in Genoa, defining the rebels as a "vile and infected race of canailles." In 1852, he appointed Count Camillo Benso of Cavour as Prime Minister of Piedmont-Sardinia. This turned out to be a wise choice, since Cavour was a political mastermind and a major player in the Italian unification in his own right. Victor Emmanuel II soon became the symbol of the "Risorgimento", the Italian unification movement of the 1850s and early 60s, he was popular in the Kingdom of Sardinia-Piedmont because of his respect for the new constitution and his liberal reforms.
Following Victor Emmanuel's advice, Cavour joined Britain and France in the Crimean War against Russia. Cavour was reluctant to go to war due to the power of Russia at the time and the expense of doing so. Victor Emmanuel, was convinced of the rewards to be gained from the alliance created with Britain and, more France. After seeking British support and ingratiating himself with France and Napoleon III at the Congress of Paris in 1856 at the end of the war, Count Cavour arranged a secret meeting with the French emperor. In 1858, they met at Plombières-les-Bains, where they agreed that if the French were to help Piedmont combat Austria, which still occupied the Kingdom of Lombardy-Venetia in northern Italy, France would be awarded Nice and Savoy; the Italo-French campaign against Austria in 1859 started successfully. However, sickened by the casualties of the war and worried about the mobilisation of Prussian troops, Napoleon III secretly made a treaty with Franz Joseph of Austria at Villafranca whereby Piedmont would only gain Lombardy.
France did not as a result receive the promised Nice and Savoy, but Austria did keep Venetia, a major setback for the Piedmontese, in no small part because the treaty had been prepared without their knowledge. After several quarrels about the outcome of the war, Cavour resigned, the king had to find other advisors. France indeed only gained Nice and Savoy after the Treaty of Turin was signed in March 1860, after Cavour had been reinstalled as Prime Minister, a deal with the French was struck for plebiscites to take place in the Central Italian Duchies; that same year, Victor Emmanuel II sent his forces to fight the papal army at Castelfidardo and drove the Pope into Vatican City. His success at these goals led him to be excommunicated from the Catholic Church. Giuseppe Garibaldi conquered Sicily and Naples, Sardinia-Piedmont grew larger. On 17 March 1861 the Kingdom of Italy was established and Victor Emmanuel II became its king. Victor Emmanuel supported Giuseppe Garibaldi's Expedition of the Thousand, which resulted in the rapid fall of the Kingdom of the Two Sicilies in southern Italy.
However, the king halted Garibaldi when he appeared ready to attack Rome, still under the Papal States, as it was under French protection. In 1860, through local plebiscites, Modena and Romagna decided to side with Sardinia-Piedmont. Victor Emmanuel marched victoriously in the Marche and Umbria after the victorious battle of Castelfidardo over the Papal forces; the king subsequently met with Garibaldi at Teano. Another series of plebiscites in the occupied lands resulted in the proclamation of Victor Emmanuel as the first King of Italy by the new Parliament of unified Italy, on 17 March 1861, he did not renumber himself after assuming the new royal title, however. Turin became the capital of the new state. Only Rome and Trentino remained to be conquered. In 1866 Victor Emmanuel allied himself with Prussia in the Third Italian War of Independence. Although not victorious in the Italian theater, he managed anyway to receive Veneto after the Austrian defeat in Germany; the British Foreign Secretary, Lord Clarendon, visited Florence in December 1867 and reported to London after talking to various Italian politicians: "There is universal agreement that Victor Emmanuel is an imbecile.
The pound sterling known as the pound and less referred to as sterling, is the official currency of the United Kingdom, Guernsey, the Isle of Man, South Georgia and the South Sandwich Islands, the British Antarctic Territory, Tristan da Cunha. It is subdivided into 100 pence. A number of nations that do not use sterling have currencies called the pound. Sterling is the third most-traded currency in the foreign exchange market, after the United States dollar, the euro. Together with those two currencies and the Chinese yuan, it forms the basket of currencies which calculate the value of IMF special drawing rights. Sterling is the third most-held reserve currency in global reserves; the British Crown dependencies of Guernsey and the Isle of Man produce their own local issues of sterling which are considered equivalent to UK sterling in their respective regions. The pound sterling is used in Gibraltar, the Falkland Islands, Saint Helena and Ascension Island in Saint Helena and Tristan da Cunha; the Bank of England is the central bank for the pound sterling, issuing its own coins and banknotes, regulating issuance of banknotes by private banks in Scotland and Northern Ireland.
Banknotes issued by other jurisdictions are not regulated by the Bank of England. The full official name pound sterling, is used in formal contexts and when it is necessary to distinguish the United Kingdom currency from other currencies with the same name. Otherwise the term pound is used; the currency name is sometimes abbreviated to just sterling in the wholesale financial markets, but not when referring to specific amounts. The abbreviations "ster." and "stg." are sometimes used. The term "British pound" is sometimes incorrectly used in less formal contexts, it is not an official name of the currency; the exchange rate of the pound sterling against the US dollar is referred to as "cable" in the wholesale foreign exchange markets. The origins of this term are attributed to the fact that in the 1800s, the GBP/USD exchange rate was transmitted via transatlantic cable. Forex traders of GBP/USD are sometimes referred to as "cable dealers". GBP/USD is now the only currency pair with its own name in the foreign exchange markets, after IEP/USD, known as "wire" in the forward FX markets, no longer exists after the Irish Pound was replaced by the euro in 1999.
There is apparent convergence of opinion regarding the origin of the term "pound sterling", toward its derivation from the name of a small Norman silver coin, away from its association with Easterlings or other etymologies. Hence, the Oxford English Dictionary state that the "most plausible" etymology is derivation from the Old English steorra for "star" with the added diminutive suffix "-ling", to mean "little star" and to refer to a silver penny of the English Normans; as another established source notes, the compound expression was derived: However, the perceived narrow window of the issuance of this coin, the fact that coin designs changed in the period in question, led Philip Grierson to reject this in favour of a more complex theory. Another argument that the Hanseatic League was the origin for both the origin of its definition and manufacture, in its name is that the German name for the Baltic is "Ost See", or "East Sea", from this the Baltic merchants were called "Osterlings", or "Easterlings".
In 1260, Henry III granted them a charter of protection and land for their Kontor, the Steelyard of London, which by the 1340s was called "Easterlings Hall", or Esterlingeshalle. Because the League's money was not debased like that of England, English traders stipulated to be paid in pounds of the "Easterlings", contracted to "'sterling". For further discussion of the etymology of "sterling", see sterling silver; the currency sign for the pound is £, written with a single cross-bar, though a version with a double cross-bar is sometimes seen. This symbol derives from medieval Latin documents; the ISO 4217 currency code is GBP, formed from "GB", the ISO 3166-1 alpha-2 code for the United Kingdom, the first letter of "pound". It does not stand for "Great Britain Pound" or "Great British Pound"; the abbreviation "UKP" is used but this is non-standard because the ISO 3166 country code for the United Kingdom is GB. The Crown dependencies use their own codes: GGP, JEP and IMP. Stocks are traded in pence, so traders may refer to pence sterling, GBX, when listing stock prices.
A common slang term for the pound sterling or pound is quid, singular and plural, except in the common phrase "quids in!". The term may have come via Italian immigrants from "scudo", the name for a number of coins used in Italy until the 19th century.
Vatican City Vatican City State, is an independent city-state enclaved within Rome, Italy. Established with the Lateran Treaty, it is distinct from yet under "full ownership, exclusive dominion, sovereign authority and jurisdiction" of the Holy See. With an area of 44 hectares, a population of about 1,000, it is the smallest state in the world by both area and population; the Vatican City is an ecclesiastical or sacerdotal-monarchical state ruled by the pope who is, religiously speaking, the bishop of Rome and head of the Catholic Church. The highest state functionaries are all Catholic clergy of various national origins. Since the return of the popes from Avignon in 1377, they have resided at the Apostolic Palace within what is now Vatican City, although at times residing instead in the Quirinal Palace in Rome or elsewhere; the Holy See dates back to early Christianity, is the primate episcopal see of the Catholic Church, with 1.3 billion Catholics around the world distributed in the Latin Church and 23 Eastern Catholic Churches.
The independent Vatican City-state, on the other hand, came into existence in 11 February 1929 by the Lateran Treaty between the Holy See and Italy, which spoke of it as a new creation, not as a vestige of the much larger Papal States, which had encompassed much of central Italy. Within the Vatican City are religious and cultural sites such as St. Peter's Basilica, the Sistine Chapel and the Vatican Museums, they feature some of sculptures. The unique economy of Vatican City is supported financially by the sale of postage stamps and souvenirs, fees for admission to museums, sales of publications; the name Vatican City was first used in the Lateran Treaty, signed on 11 February 1929, which established the modern city-state. The name is taken from the geographic location of the state. "Vatican" is derived from the name of an Etruscan settlement, Vatica or Vaticum meaning garden, located in the general area the Romans called vaticanus ager, "Vatican territory". The official Italian name of the city is Città del Vaticano or, more formally, Stato della Città del Vaticano, meaning "Vatican City State".
Although the Holy See and the Catholic Church use Ecclesiastical Latin in official documents, the Vatican City uses Italian. The Latin name is Status Civitatis Vaticanæ; the name "Vatican" was in use in the time of the Roman Republic for a marshy area on the west bank of the Tiber across from the city of Rome. Under the Roman Empire, many villas were constructed there, after Agrippina the Elder drained the area and laid out her gardens in the early 1st century AD. In AD 40, her son, Emperor Caligula built in her gardens a circus for charioteers, completed by Nero, the Circus Gaii et Neronis called the Circus of Nero. Before the arrival of Christianity, it is supposed that this uninhabited part of Rome had long been considered sacred, or at least not available for habitation. A shrine dedicated to the Phrygian goddess Cybele and her consort Attis remained active long after the Constantinian Basilica of St. Peter was built nearby; the low quality of Vatican water after the reclamation of the area, was commented on by the poet Martial.
Tacitus wrote, that in AD 69, the Year of the Four Emperors, when the northern army that brought Vitellius to power arrived in Rome, "a large proportion camped in the unhealthy districts of the Vatican, which resulted in many deaths among the common soldiery. The Vatican Obelisk was taken by Caligula from Heliopolis in Egypt to decorate the spina of his circus and is thus its last visible remnant; this area became the site of martyrdom of many Christians after the Great Fire of Rome in AD 64. Ancient tradition holds. Opposite the circus was a cemetery separated by the Via Cornelia. Funeral monuments and mausoleums and small tombs as well as altars to pagan gods of all kinds of polytheistic religions were constructed lasting until before the construction of the Constantinian Basilica of St. Peter's in the first half of the 4th century. Remains of this ancient necropolis were brought to light sporadically during renovations by various popes throughout the centuries, increasing in frequency during the Renaissance until it was systematically excavated by orders of Pope Pius XII from 1939 to 1941.
The Constantinian basilica was built in 326 over what was believed to be the tomb of Saint Peter, buried in that cemetery. From on, the area became more populated in connection with activity at the basilica. A palace was constructed nearby as early as the 5th century during the pontificate of Pope Symmachus. Popes came to have a secular role as governors of regions near Rome, they ruled the Papal States, which covered a large portion of the Italian peninsula, for more than a thousand years until the mid-19th century, when all the territory belonging to the papacy was seized by the newly created Kingdom of Italy. For most of this time the popes did not live at the Vatican; the Lateran Palace, on the opposite side