Diqing Tibetan Autonomous Prefecture (Diqing Prefecture), one of the eight autonomous prefectures in Yunnan Province, is the capital of Shangri-La. Tibetan means "a place of good luck". It is located in the northwest of Yunnan Province, at the junction of Yunnan, Tibet and Sichuan provinces. The Qinghai-Tibet Plateau extends part of the Hengduan Mountains, which are longitudinally arranged from north to south. The Jinsha River, Lancang River and Nu River run parallel to the national scenic spots. The Lancang River and Jinsha River run through the whole territory from north to south, covering a total area of 23870 square kilometers.

Diqing Tibetan Autonomous Prefecture administers 1 county (Deqin County), 1 autonomous county (Weixi Lisu Autonomous County), and 1 county-level city (Shangri-La City). There are 26 ethnic groups in Diqing, including 9 ethnic groups including Tibetan, Lisu, Han, Naxi, Bai, Hui, Yi, Miao and Pumi with more than 1000 people. According to the data of the seventh population census, as of 0:00 on November 1, 2020, the permanent population of Diqing Tibetan Autonomous Prefecture was 387511. In 2020, Diqing Prefecture's GDP reached 26.7 billion yuan, 2350 times that of 1955; The per capita GDP reached 68622 yuan, 980 times that of 1955.

Shangri-La City, Diqing Tibetan Autonomous Prefecture, is located in the southern edge of the Qinghai-Tibet Plateau, the hinterland of the Hengduan Mountains, and the intersection of Yunnan, Sichuan and Tibet provinces. It is an eternal peaceful and tranquil place far away in the mountains of the East, described by the famous British writer James Hilton in his novel The Lost Horizon.