Nicosia, is the capital and largest city of both Cyprus and the Turkish Republic of Northern Cyprus; although, Northern Cyprus remains partially recognised. Located on the River Pedieos and situated almost in the centre of the island, it is the seat of government as well as the main business centre.

According to the constitution Nicosia Turkish Municipality was recognised in 1960, in addition to the Nicosia Municipality. Following the intercommunal violence of the 1960s, the capital was divided between the island's Greek Cypriot and Turkish Cypriot communities in the south and north by the Green Line in 1964. An attempted coup to unite the island with Greece in 1974 led to a Turkish invasion, with Turkish Cypriots claiming the north as the capital of their own state, Republic of Northern Cyprus (recognised only by Turkey). Nicosia retains the distinction of being the world's last divided capital. South of the Green Line, the population of the city is 313,400 (2009), while a further 84,893 live in the north.

Nicosia is important commercially with many shops, two modern shopping malls, restaurants and entertainment. The city is a trade centre and manufactures textiles, leather, pottery, plastic,copper and other products.