Tibecuador appears to be right in between North and South America (therefore it is somewhere in Central America), although the inhabitants more closely resemble South American tribals, like those living in the Amazon rainforest. Its name stems from a portmanteau of Tibet, considered to be a part of China, and Ecuador.
The country of Tibecuador was first created in the episode, "Oh, Brother!", after Timmy Turner had wished for an older brother named Tommy. When his friends asked him where Tommy had been for so many years, Timmy stuttered out "Tibecuador", and then corrected himself by wishing that country existed. The country of Tibecuador was then magically poofed between North and South America.
After learning at how selfish and lazy Timmy is, Tommy tried to convince their parents to have Timmy sent to Tibecuador to learn better work ethic by doing manual labor. When Timmy wished to be an only child again, Tommy wound up back here to be an older brother to an Tibecuadorian version of Timmy. This Timmy look-a-like wanted to have Tommy beat up a local bully named "Francisco", but Tommy was more concerned with helping tone deaf llamas.
In "Timmy the Barbarian!", Mr. Crocker asks Timmy what the capital of Tibecuador is.
The name of this country appears on the side of a bus in the episode, "Wishy Washy".