The Chinese Constitution stipulates that the present-day administrative divisions basically fall into three categories: provinces (also autonomous regions and municipalities under the jurisdiction of the Central Government), counties (also autonomous counties and cities) and townships. Townships are the grassroots administrative units in the country. People of the ethnic minorities live in compact communities in the autonomous regions and autonomous prefectures or counties which are inseparable parts of China. Special administrative areas may also be established in areas where the government deems necessary. The government may also make some adjustments or changes in the boundaries of autonomous administrative areas whenever the need arises for upgrading administrative work or for economic development purposes. The government may also make such boundary adjustments or changes with a view to enhancing the unity of various ethnic groups.
  There are now 32 provincial-level administrative areas, including 23 provinces, five autonomous regions and four municipalities. All of these administrative areas have abbreviated names that have been in use for centuries. The seats of government of the administrative areas are called provincial or regional capitals. The seat of the Central Government is in Beijing, the capital of the Chinese People's Republic.
  Hong Kong, which had been occupied by Britain, was returned to China on July 1, 1997 as a special administrative region. So did Portugal-occupied Macao on Dec. 20, 1999.