Baku is the capital and largest city of Azerbaijan, as well as the largest city on the Caspian Sea and of the Caucasus region. Baku is located 28 metres (92 ft) below sea level, which makes it the lowest lying national capital in the world and also the largest city in the world located below sea level. It is located on the southern shore of the Absheron Peninsula, alongside the Bay of Baku. At the beginning of 2009, Baku's urban population was estimated at just over two million people. Officially, about 25 percent of all inhabitants of the country live in Baku's metropolitan area.

The city is the scientific, cultural and industrial center of Azerbaijan. Many sizeable Azerbaijani institutions have their headquarters there. The Baku International Sea Trade Port is capable of handling two million tons of general and dry bulk cargoes per year. In recent years, Baku has become an important venue for international events. It hosted the 57th Eurovision Song Contest in 2012, the 2015 European Games, the 2016 European Grand Prix, 4th Islamic Solidarity Games and Azerbaijan Grand Prix in 2017, and will host UEFA Euro 2020.

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