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Source: Vatican City - MSN Encarta | geography.about.com
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The Vatican City, the headquarters of the Roman Catholic Church, is the world's smallest country. Located entirely within the city of Rome, Italy, the Vatican City (also known as the Holy See) is 0.2 square miles (0.44 km2) in area. ChaCha!
The smallest country in the world is the Vatican City, a walled enclave inside Rome, Italy. It has a population of about 783.
At 0.17 sq. mi., Vatican City in Rome, Italy is the smallest country in the world. It is the sovereign territory of the Holy See.
The Vatican City, which is only 0.2 square miles, is actually its own country and is the smallest in the world next to Monaco.