In the city of Funchal, on the Portugese island of Madeira

 The city of Funchal, capital of the Madeira Islands of Portugal in the North Atlantic Ocean, is found on the southern coast of Madeira Island.

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(on the Portuguese island of Madeira) The city of Funchal is the largest city, the municipal seat, and and the capital of Portugal's Autonomous Region of Madeira. The sixth largest city in Portugal, it has served as the capital of Madeira for more than five centuries. Because of its high cultural and historical value, Funchal is one of Portugal's main tourist attractions. It is also popular as a destination for New Year's Eve -- and the leading Portuguese port on cruise-liner dockings. Funchal, the capital of the Madeira archipelago, was declared a city in the 1500s, and became an important junction between the old and new worlds. The laid-back city owes much of its historical prominence to "white gold," Madeiran sugar. Today, Funchal is also popular because of its appealing year-round temperatures, great wine, and local crafts. Top spots to visit include the open Worker's Market, Blandy's Wine Lodge, and the Sacred Art Museum. Hospitabley locals, walkable streets, and inexpensive taxi-rides make the city an easy one to explore. The old lanes, wide 20th-century boulevards, and pretty squares of central West Funchal are where you’ll find some of Madeira’s top experiences, its popular shopping places, and its interesting museums. It’s also the busiest part of the island with yellow buses, street cafes, and shoppers Funchal packing the streets all day long. East Funchal is all about the Zona Velha, an old fishers’ neighborhood that has been transformed into a "hip" quarter packed with bars, galleries, shops and restaurants -- and is the place to be in Funchal after sundown. The stellar attraction on the edge of the Zona Velha is the Mercado dos Lavradores, Funchal’s vibrant open-market.

+ The older part of the city focuses on the Sé cathedral (built from 1485–1514) and has steep, narrow cobblestone streets. The buildings are generally whitewashed and are surrounded by gardens of tropical flowers; they line the curving shore of the Port of Funchal and spread inland on the lower slopes of an amphitheatre of mountains that reach 1,200 meters in elevation. Stone walls support sloping terraces on which there is year-round cultivation. Tourism, based on the scenery and the mild year-round climate, is a major economic factor. Exports from Funchal include the famous Madeira wines, wickerwork, embroidery, fruit, fish, and dairy products. Economically important industries still include sugar milling, cabinet-making, and distilling. Since 1960, Funchal’s harbor and cargo-handling facilities have been periodically enlarged and modernized; it is now quite a busy regional port of call, a and bunkering facility.