Putrajaya, officially the Federal Territory of Putrajaya, is a planned city and the federal administrative centre of Malaysia. The seat of government was shifted in 1999 from Kuala Lumpur to Putrajaya, because of overcrowding and congestion in the former. Kuala Lumpur remains Malaysia's national capital, and is the seat of the King, the Parliament, and all the foreign embassies, and the country's commercial and financial centre. Putrajaya was the idea of former Prime Minister Mahathir Mohamad. It became Malaysia's third Federal Territory, after Kuala Lumpur and Labuan, in 2001.
Named after the first Malaysian Prime Minister, Tunku Abdul Rahman Putra, the territory is entirely enclaved within the Sepang District of the state of Selangor. Putrajaya is also a part of MSC Malaysia, a special economic zone that covers Klang Valley. In Sanskrit, "putra" means "prince" or "male child", and "jaya" means "success" or "victory". The development of Putrajaya started in the early 1990s; today, major landmarks have been completed and the population is expected to grow in the near future.