[6] Settled by pre-Celtic tribes and later founded and civilized by the Phoenicians, Julius Caesar made it a municipium called Felicitas Julia,[7] adding the term to the name Olissipo.

As the political centre of the country, Lisbon hosts the government, National Assembly, Supreme Court of Justice, Armed Forces and residence of the head of state.

Lisbon is recognised as an alpha-level global city because of its importance in finance, commerce, fashion, media, entertainment, arts, international trade, education, and tourism.

[14][15][16] Lisbon is one of the major economic centres in Europe, with a growing financial sector, with PSI-20 being part of Euronext, the largest center for debt and funds listings in the world.

Classical authors writing in Latin and Greek, including Strabo, Solinus, and Martianus Capella,[20][21] referred to popular legends that the city of Lisbon was founded by the mythical hero Ulysses (Odysseus).

[24][25] Another claim repeated in historical literature is that the name of Lisbon could originate from a supposed ancient Phoenician term Alis-Ubbo, meaning "safe harbour" or "pleasant haven".

[26][27][28] Although modern archaeological excavations show there may have been Phoenician presence at this location since 1000 BC,[29] this folk etymology completely lacks any evidence and "is never attested in ancient classical literature".

During the Neolithic period, the region was inhabited by Pre-Celtic tribes, who built religious and funerary monuments, megaliths, dolmens and menhirs, which still survive in areas on the periphery of Lisbon.

[39] The Tagus settlement was an important centre of commercial trade with the inland tribes, providing an outlet for the valuable metals, salt and salted-fish they collected, and for the sale of the Lusitanian horses renowned in antiquity.

According to a persistent legend, the location was named for the Greek mythical king of Ithaca, Ulysses, who founded the city when he sailed westward to the ends of the known world.

Decimus obtained the alliance of Olissipo (which sent men to fight alongside the Roman Legions against the northwestern Celtic tribes) by integrating it into the empire, as the Municipium Cives Romanorum Felicitas Julia.

During Augustus' reign, the Romans also built a great theatre; the Cassian Baths (underneath Rua da Prata); temples to Jupiter, Diana, Cybele, Tethys and Idea Phrygiae (an uncommon cult from Asia Minor), in addition to temples to the Emperor; a large necropolis under Praça da Figueira; a large forum and other buildings such as insulae (multi-storied apartment buildings) in the area between Castle Hill and the historic city core.

Economically strong, Olissipo was known for its garum (a fish sauce highly prized by the elites of the empire and exported in amphorae to Rome), wine, salt, and horse-breeding, while Roman culture permeated the hinterland.

The city was ruled by an oligarchical council dominated by two families, the Julii and the Cassiae, although regional authority was administered by the Roman Governor of Emerita or directly by Emperor Tiberius.

These conquerors built many mosques and houses, rebuilt the city wall (known as the Cerca Moura) and established administrative control, while permitting the diverse population of Muwallads, Arabs, Berbers, Mozarabs, Saqaliba, and Jews to maintain their socio-cultural lifestyles.

The following years of the 16th century began Lisbon's golden era: the city was the European hub of commerce between Africa, India, the Far East and later, Brazil, and acquired great riches by exploiting the trade in spices, slaves, sugar, textiles and other goods.

This period saw the rise of the exuberant Manueline style in architecture, which left its mark in many 16th-century monuments (including Lisbon's Belém Tower and Jerónimos Monastery, which were declared UNESCO World Heritage Sites).

Voltaire wrote a long poem, Poême sur le désastre de Lisbonne, shortly after the quake, and mentioned it in his 1759 novel Candide (indeed, many argue that this critique of optimism was inspired by that earthquake).

After the 1755 earthquake, the city was rebuilt largely according to the plans of Prime Minister Sebastião José de Carvalho e Melo, the 1st Marquis of Pombal; the lower town began to be known as the Baixa Pombalina (Pombaline central district).

[52] During the Estado Novo regime (1926–1974), Lisbon, under the influence of Duarte Pacheco, the minister of works, was expanded at the cost of other districts within the country, resulting in nationalist and monumental projects.

In the 1990s, many of the districts were renovated and projects in the historic quarters were established to modernise those areas, for instance, architectural and patrimonial buildings were renovated, the northern margin of the Tagus was re-purposed for leisure and residential use, the Vasco da Gama Bridge was constructed and the eastern part of the municipality was re-purposed for Expo '98 to commemorate the 500th anniversary of Vasco da Gama's sea voyage to India, a voyage that would bring immense riches to Lisbon and cause many of Lisbon's landmarks to be built.

These communities have no clearly defined boundaries and represent distinctive quarters of the city that have in common a historical culture, similar living standards, and identifiable architectural landmarks, as exemplified by the Bairro Alto, Alfama, Chiado, and so forth.

Following the 1755 disaster, Pombal took the lead in rebuilding Lisbon, imposing strict conditions and guidelines on the construction of the city, and transforming the organic street plan that characterised the district before the earthquake into its current grid pattern.

The manufacturing districts and the industrial facilities by the riverside docks are the place of choice for contemporary art galleries, iconic bars, and gourmet restaurants that simmer in the streets.

There are exotic plants and trees, a duck pond, various sculptures, a children's playground, and many cultural events going on throughout the year, including outdoor cinema, markets, and music festivals.

Lisbon's Opera House, the Teatro Nacional de São Carlos, hosts a relatively active cultural agenda, mainly in autumn and winter.

The country's chief seaport, featuring one of the largest and most sophisticated regional markets on the Iberian Peninsula, Lisbon and its heavily populated surroundings are also developing as an important financial centre and a dynamic technological hub.

Lisbon has the largest and most developed mass media sector of Portugal and is home to several related companies ranging from leading television networks and radio stations to major newspapers.

[141] Before Portugal's sovereign debt crisis and an EU-IMF rescue plan, for the decade of 2010 Lisbon was expecting to receive many state-funded investments, including building a new airport, a new bridge, an expansion of the Lisbon Metro 30 km (18.64 mi) underground, the construction of a mega-hospital (or central hospital), the creation of two lines of a TGV to join Madrid, Porto, Vigo and the rest of Europe, the restoration of the main part of the town (between the Marquês de Pombal roundabout and Terreiro do Paço), the creation of a large number of bike lanes, as well as modernization and renovation of various facilities.

The Estádio Nacional, in nearby Oeiras, has a capacity of 37,000 and was used exclusively for Portuguese international football matches and cup finals until the construction of larger stadia in the city.