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The [Commonwealth of Australia] is a country in the [Southern Hemisphere] and is the world's smallest continent and the largest island with a number of smaller islands in the Southern, Indian and Pacific Oceans. Australia's neighbouring countries are Indonesia, East Timor and Papua New Guinea to the north, the Solomon Islands, Vanuatu and New Caledonia to the north-east, and New Zealand to the south-east. The continent of Australia has been inhabited for over 40,000 years by Aboriginal and Torres Strait Islander peoples. After many visits by European explorers and merchants from the 17th century and onwards, the eastern half of the continent was claimed by the British in 1770, and officially settled as the penal colony of New South Wales on 26 January 1788. As the population grew and new areas were explored, another five largely self-governing Crown Colonies were successively established over the course of the 19th century. On 1 January 1901, the six colonies federated and the Commonwealth of Australia was formed. Since federation, Australia has kept a stable liberal democratic political system and remains a Commonwealth Realm. The current population of around Australia is around 20.4 million and is [concentrated] mainly in the coastal cities of Sydney, Melbourne, Brisbane, Perth and Adelaide.
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