The or the lies in the southern-central region of Japan's main island Honshū. The region includes the prefectures of Mie, Nara, Wakayama, Kyoto, Osaka, Hyōgo, and Shiga. Depending on who makes the distinction, Fukui, Tokushima and even Tottori Prefecture are also included. While the use of the terms "Kansai" and "Kinki" have changed over history, in most modern contexts the use of the two terms is interchangeable. The urban region of Osaka, Kobe and Kyoto (Keihanshin region) is the second most populated in Japan after the Greater Tokyo Area.
The terms , , and have a very deep history, dating back almost as far as the nation of Japan itself. As a part of the Ritsuryō reforms of the seventh and eighth centuries, the Gokishichidō system established the provinces of Yamato, Yamashiro, Kawachi, Settsu and Izumi. Kinai and Kinki, both roughly meaning "the neighbourhood of the capital", referred to these provinces. In common usage, Kinai now refers to the Osaka-Kobe-Kyoto (Keihanshin) area, the center of the Kansai region.
Kansai (literally west of the tollgate) in its original usage refers to the land west of the Osaka Tollgate, the border between Yamashiro Province and Ōmi Province (present-day Kyoto and Shiga prefectures). During the Kamakura period, this border was redefined to include Ōmi and Iga Provinces. It is not until the Edo period that Kansai came to acquire its current form. (see Kamigata) Like all regions of Japan, the Kansai region is not an administrative unit, but rather a cultural and historical one, which emerged much later during the Heian Period after the expansion of Japan saw the development of the Kanto Region to the east and the need to differentiate what was previously the center of Japan in Kansai emerged.
The Heian period saw the capital moved to Heian-kyō (present-day Kyoto), where it would remain for over a thousand years until the Meiji Restoration. During this golden age, the Kansai region would give birth to traditional Japanese culture. In 788, Saicho, the founder of the Tendai sect of Buddhism established his monastery at Mount Hiei in Shiga prefecture. Japan's most famous tale, and some say the world's first modern novel, The Tale of Genji was penned by Murasaki Shikibu while performing as a lady-in-waiting in Heian-kyo. Noh and Kabuki, Japan's traditional dramatic forms both saw their birth and evolution in Kyoto, while Bunraku, Japanese puppet theater, is native to Osaka.