The capital of Tuvalu in the west-central Pacific Ocean is located on Funafuti Atoll, a collection of some 30 small islands that surround a lagoon. Formed on the remains of a volcano that exploded more than a thousand years ago, the islands are all part of a coral reef.
The small village of Vaiaku on the islet of Fongafale is the site of several government buildings as well as a hospital and a hotel. The atoll also has a small airstrip. There are few businesses on the islands. Most people make a living through fishing. The major crop is copra, or dried coconut.
In 1892 Britain took over Funafuti Atoll and all the islands of Tuvalu, which European sailors had called the Ellice Islands. In 1916 the British joined the Ellice Islands and the Gilbert Islands (now part of the country of Kiribati) to form the Gilbert and Ellice Islands Colony. In 1943, during World War II, the United States built military bases on Funafuti Atoll and on two nearby islands. Tuvalu achieved its independence in 1978. Population (1995 estimate), 4,000.
