The capital cities of South America are BRASILIA, the 8-letter capital of Brazil, and LIMA, the 4-letter capital of Peru. BRASILIA was founded in 1960 and is located in the Federal District of Brazil. It is the fourth largest city in Brazil and is known for its modernist architecture. LIMA is the largest city in Peru and has been the capital since 1821. It is a major economic hub and is home to many universities and museums.