"Outlying territory" typically refers to areas that are situated away from the main or central regions of a country, state, or administrative division. These territories can be geographically isolated, less densely populated, or distinct in some social, cultural, or economic aspect from the central areas. In a more specific context, "outlying territories" can sometimes refer to territories that have a special status, such as territories that are possessions, dependencies, or territories with limited self-governance.
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