Vatican City is a micronation located entirely within the city of Rome, Italy. It is the territory under the governance of the Holy See, a relic of the medieval Papal States. The country came into its modern existence as a result of a compromise between Pope Pius XI and the government of fascist Italy during the Lateran Treaty of 1929. Vatican City is the smallest country in the world. With a population of only about 800 people, it is also the least populous sovereign state in the world. The head of state of the Vatican is the Pope, who is elected by an international body of cardinals.