Given its limited politic and economic power

why is the world’s smallest country the Vatican City State still influential in global affairs? Doubtlessly

the paramount determinant is its complex status as both a state and the residence of leader of the Catholic Church. Through the Second Vatican Council (1962-1965)

the Holy See managed to transform itself in order to "keep pace with the times" ; it thereby also maintained its international influence. This article argues that the Holy See’s centuries-old diplomatic tradition

developed well before Second Vatican Council

is another important element in understanding the Vatican’s global significance. To be more specific

from the formation of the Papal States in the middle of the 8th century to 1870

the popes and the Roman Curia survived and expanded by diplomatic maneuvers while facing other political powers. Over the centuries they developed a rich diplomatic tradition. After Pope Pius IX (1846-1878) became the so-called "prisoner of the Vatican" in 1870

the Holy See lost its vast territories

but popes

their temporal powers radically curbed

were still actors in the diplomatic arena. The diplomatic networks and international influence which were established by subsequent popes finally became one of the bargaining chips for the Holy See in its negotiations with the Italian government on the "Roman Question" in 1929. During the period from the signing of the Lateran Pacts (1929) to the inauguration of Second Vatican Council

though the Vatican’s diplomatic powers were often limited

the Holy See continued to participate in international affairs: It adopted modern diplomatic styles and played a key role in the global diplomatic system.