Is a capital city always in the state?

Not necessarily. Although it is a common practice, there are instances where the capital city of a state or region is located outside its geographical boundaries. For example, Cape Town is the legislative capital of South Africa, while the judicial and executive capitals are Pretoria and Bloemfontein, respectively. Similarly, Canberra is the capital city of Australia, but Sydney and Melbourne are often regarded as the country's most populous and prominent cities.