Stanley is the capital of the Falkland Islands. It is located on the island of East Falkland, on a north-facing slope in one of the wettest parts of the islands. At the 2012 census, the town had a population of 2,121; the entire population of the Falkland Islands was 2,841 on Census Day on 15 April 2012.

The original capital of the islands was at Port Louis to the north of the present site of Stanley, on Berkeley Sound. Captains Francis Crozier and James Clark Ross were recruited by Governor Richard Moody in his quest to find a new capital for The Falklands. Both Crozier and Ross (who are remembered in Crozier Place and Ross Road in Stanley) were among the Royal Navy's most distinguished seafarers. They spent 5 months in the islands with their ships Terror and Erebus. Governor Moody (after whom Moody Brook is named) however, decided to move the capital to Port Jackson, which was renamed "Stanley Harbour", after a survey. Stanley Harbour was considered to have a deeper anchorage for visiting ships. Not all the inhabitants were happy with the change, notably one JW Whitington is recorded as saying, "Of all the miserable bog holes, I believe that Mr Moody has selected one of the worst for the site of his town."

Work on the settlement began in 1843 and it became the capital in July 1845. It was named after Lord Stanley, Secretary of State for War and the Colonies at the time.

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