Mexico City is the capital and largest city of Mexico, and North America's most populous city. It is one of the most important cultural and financi…Mexico City is the capital and largest city of Mexico, and North America's most populous city. It is one of the most important cultural and financial centers in the world. Mexico City is located in the Valley of Mexico within the high Mexican central plateau, at an altitude of 2,240 meters. The city has 16 boroughs or demarcaciones territoriales, which are in turn divided into neighborhoods or colonias.