New South Wales (abbreviated as NSW) is a state of Australia, located in the east of the country. It is bordered by Queensland, Victoria and South Australia to the north, south and west respectively. To the east, the state is bordered by the Tasman Sea, which forms part of the Pacific Ocean. New South Wales encompasses the whole of the Australian Capital Territory. The state capital is Sydney, which is also the state's most populous city. As of June 2010, the estimated population was 7,238,819, which was 34.5% of the population of Australia, making it Australia's most populous state. Inhabitants of New South Wales are referred to as New South Welshmen.