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The FALKLAND ISLANDS (Spanish: Islas Malvinas) are an archipelago in the South Atlantic Ocean on the Patagonian Shelf. is Stanley on East Falkland. Area - 12 173 sq.km. Population - 2840 (2012) Capital - Stanley. Although Fuegians from Patagonia may have visited the Falkland Islands in prehistoric times, the islands were uninhabited at the time of their discovery by Europeans. Claims of discovery date back to the 16th century, but no consensus exists on whether these early explorers discovered the Falklands or other islands in the South Atlantic. The first recorded landing on the islands is attributed to English captain John Strong, who, en route to Peru's and Chile's littoral in 1690, discovered the Falkland Sound and noted the islands' water and game. The Falklands remained uninhabited until the 1764 establishment of Port Louis on East Falkland by French captain Louis Antoine de Bougainville, and the 1766 foundation of Port Egmont on Saunders Island by British captain John MacBride. In 1766, France surrendered its claim on the Falklands to Spain, which renamed the French colony Puerto Soledad the following year. Problems began when Spain discovered and captured Port Egmont in 1770. War was narrowly avoided by its restitution to Britain in 1771. Both the British and Spanish settlements coexisted in the archipelago until 1774, when Britain's new economic and strategic considerations led it to voluntarily withdraw from the islands, leaving a plaque claiming the Falklands for King George III. Spain's Viceroyalty of the Río de la Plata became the only governmental presence in the territory. West Falkland was left abandoned, and Puerto Soledad became mostly a prison camp. Amid the British invasions of the Río de la Plata during the Napoleonic Wars in Europe, the islands' governor evacuated the archipelago in 1806; Spain's remaining colonial garrison followed suit in 1811, except for gauchos and fishermen who remained voluntarily. Thereafter, the archipelago was visited only by fishing ships; its political status was undisputed until 1820, when Colonel David Jewett, an American privateer working for the United Provinces of the Río de la Plata, informed anchored ships about Buenos Aires' 1816 claim to Spain's territories in the South Atlantic. Since the islands had no permanent inhabitants, in 1823 Buenos Aires granted German-born merchant Luis Vernet permission to conduct fishing activities and exploit feral cattle in the archipelago. Vernet settled at the ruins of Puerto Soledad in 1826, and accumulated resources on the islands until the venture was secure enough to bring settlers and form a permanent colony. Buenos Aires named Vernet military and civil commander of the islands in 1829, and he attempted to regulate sealing to stop the activities of foreign whalers and sealers. Vernet's venture lasted until a dispute over fishing and hunting rights led to a raid by the American warship USS Lexington in 1831, when United States Navy commander Silas Duncan "declared the island government at an end". Buenos Aires attempted to retain influence over the settlement by installing a garrison, but a mutiny in 1832 was followed the next year by the arrival of British forces who reasserted Britain's rule. The Argentine Confederation (headed by Buenos Aires Governor Juan Manuel de Rosas) protested Britain's actions, and Argentine governments have continued since then to register official protests against Britain. The British troops departed after completing their mission, leaving the area "a kind of no man's land". Vernet's deputy, the Scotsman Matthew Brisbane, returned to the islands that year to restore the business, but his efforts ended after, amid unrest at Port Louis, gaucho Antonio Rivero led a group of "malcontents" to murder Brisbane and the settlement's senior leaders; survivors hid in a cave on a nearby island until the British returned and restored order. In 1840, the Falklands became a Crown colony, and Scottish settlers subsequently established an official pastoral community. Four years later, nearly everyone relocated to Port Jackson, considered a better location for government, and merchant Samuel Lafone began a venture to encourage British colonisation. In the first half of the 20th century, the Falklands served an important role in Britain's territorial claims to subantarctic islands and a section of Antarctica. The Falklands governed these territories as the Falkland Islands Dependencies starting in 1908, and retained them until their dissolution in 1985. The Falklands also played a minor role in the two world wars as a military base aiding control of the South Atlantic. In the First World War Battle of the Falkland Islands in December 1914, a Royal Navy fleet defeated an Imperial German squadron. In the Second World War, following the December 1939 Battle of the River Plate, the battle-damaged HMS Exeter steamed to the Falklands for repairs.[In 1942, a battalion en route to India was redeployed to the Falklands as a garrison amid fears of a Japanese seizure of the archipelago. After the war ended, the Falklands economy was affected by declining wool prices and the political uncertainty resulting from the revived sovereignty dispute between the United Kingdom and Argentina. Concerned at the expense of maintaining the Falkland Islands in an era of budget cuts, the UK again considered transferring sovereignty to Argentina in the early Thatcher government. Substantive sovereignty talks again ended by 1981, and the dispute escalated with passing time. In April 1982, the disagreement became an armed conflict when Argentina invaded the Falklands and other British territories in the South Atlantic, briefly occupying them until a UK expeditionary force retook the territories in June. After the war, the United Kingdom expanded its military presence, building RAF Mount Pleasant and increasing the size of its garrison. The war also left some 117 minefields containing nearly 20,000 mines of various types, including anti-vehicle and anti-personnel mines. Due to the large number of deminer casualties, initial attempts to clear the mines ceased in 1983. Currency : Falklands pound( FKP).