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Bhutan is a small landlocked Sovereign state in South Asia, located at the eastern end of the Himalayas and bordered to the south, east and west by the India and to the north by the People's Republic of China. Bhutan is separated from the nearby country of Nepal to the west by the Indian state of Sikkim, and from Bangladesh to the south by West Bengal.
Bhutan existed as a patchwork of minor warring fiefdoms until the early 17th century, when the area was unified by the Shabdrung Ngawang Namgyal, who was guided by a prophecy and had fled religious persecution in Tibet and cultivated a separate Bhutanese identity. In the early 20th century, Bhutan came into contact with the British Empire, after which Bhutan continued strong bilateral relation with India upon its independence. In 2006, ''Business Week'' magazine rated Bhutan the happiest country in Asia and the eighth-happiest in the world based on a global survey.
Bhutan's landscape ranges from subtropics plains in the south to the Sub-alpine Himalayan heights in the north, with some peaks exceeding . The state religion is Vajrayana Buddhism, and the population of 691,141 is predominantly Buddhist, with Hinduism the second-largest religion. The capital and largest city is Thimphu. After centuries of absolute monarchy, Bhutan held its first democracy elections in March 2008.