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Key takeaways

  • The happiest country in the world is Finland, according to the 2025 United Nations World Happiness Report.
  • Finland is the happiest country because of its citizens' trust in the government, beautiful natural environment, economic stability and deep-rooted culture of resilience. 
  • Top 10 happiest countries in the world for 2025 are Finland, Denmark, Iceland, Sweden, the Netherlands, Costa Rica, Norway, Israel, Luxembourg and Mexico.

 

Man jumping into a lake in Finland

 

What is the happiest country in the world?

The happiest country in the world is Finland, according to the 2025 United Nations World Happiness Report — an annual publication that ranks over 140 countries based on their citizens' life satisfaction. The report asked respondents to evaluate, on a scale of 0 to 10, everyday factors affecting their lives, including income, social support, life expectancy, freedoms, and perceptions of corruption. 
 
Questions asked in the UN World Happiness Report include: 

  • "If you were in trouble, do you have relatives or friends you can count on to help you whenever you need them, or not?" 
  • "Have you donated money to a charity in the last month?" 
  • "Are you satisfied or dissatisfied with your freedom to choose what to do with your life?" 
  • "Is corruption widespread throughout the government or not?" 

The UN's report reflects how people feel about their stability, health, and quality of life. It helps governments, researchers, and the public understand what contributes to a good life. Many countries use it to improve their citizens' happiness, public services and encourage expats to move overseas

Thinking of moving to Finland? Well, the country has maintained its position as the happiest country in the world for nine consecutive years! Other Nordic nations that ranked highly in 2025 include Denmark (2nd), Iceland (3rd), Sweden (4th), and Norway (7th). 

 

What other indexes does Finland rank high in?

Finland ranks highly in many other positive global charts, including: 

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Why is Finland the happiest country in the world? 

Finland is the happiest country in the world due to several factors, including trust in the government and its proximity to nature.

While happiness can be challenging to define, many attribute Finland's consistent place at the top of global happiness rankings to the following cultural, environmental, and societal factors: 

 

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Sauna culture 

A core part of Finnish life, saunas are found in residential buildings, workplaces, and even in Parliament! Beyond the physical health benefits, saunas represent a calm space for reflection and social bonding. 

 

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Endless natural beauty

Finland's natural environment, including the aurora (shifting bands of green, pink, and violet light dancing across the night sky), over 180,000 lakes and extensive, unspoilt forests, inspires awe and serenity.

 

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Sisu: resilience as a mindset

Sisu is a blend of determination, stoicism, and resilience. Rather than relying on outward optimism, it encourages individuals to push through difficulties quietly with purpose. 

 

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Economic stability

Finland boasts a high standard of living, including a comprehensive welfare system offering generous parental leave and unemployment benefits, and an average monthly salary of €4,032(£3,497/US$4,671)*.

 

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Low corruption

One of Finland's most distinctive features is its citizens' high trust in institutions and the general public. Corruption is rare, crime is low, and public services are generally well-managed, transparent, and affordable.

 

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Work–life balance

The Finnish approach to work is logical and balanced. Under Finland's Working Time Act, regular working hours may not exceed 8 hours per day and 40 hours per week. Overtime is rare, and there is a strong emphasis on taking annual leave and spending time with family or in nature. 

*figures accurate as of 2025

 

Boats on a still lake in Sweden

 

Top 10 happiest countries in the world for 2025*

The top 10 happiest countries in the world are Finland, Denmark, Iceland, Sweden, the Netherlands, Costa Rica, Norway, Israel, Luxembourg and Mexico, according to the UN's 2025 World Happiness Report

Here's some more information about what keeps the civilians of these countries smiling: 

 

Northern Lights over a snowy forest in Finland

1. Finland

Finland ranks first with an average life evaluation score of 7.736 out of 10. It's held the top position since 2015, reflecting strong social support (2nd), high levels of freedom (4th), and low perceived corruption (2nd). Generosity ranks lower (56th), but Finland maintains a consistent profile across key wellbeing indicators. 

Avg. annual salary: €48,384 (£41,787/$55,532) per year

Avg. life expectancy: 81.5 years old

Unemployment rate: 8.7%

Cost of living index: 66.38 (moderate)

Level of crime: 24.75 (low)

Pollution index: 11.75 (very low)

Person walking through sand dunes in Denmark

2. Denmark

Denmark ranks second, with an average life evaluation score of 7.521. The Scandinavian nation has consistently remained near the top, never ranking below third, and reaching first in 2015. Strong performance in GDP per capita (5th), social support (4th), and low levels of perceived corruption (4th) contribute to its excellent score. 

Avg. annual salary: DKK 395,500 (£45,791/$60,837) per year

Avg. life expectancy: 81.7 years old

Unemployment rate: 2.9%

Cost of living index: 75.75 (high)

Level of crime: 24.46 (low)

Pollution index: 21.06 (low)

Ponies grazing against a backdrop of snowy mountains in Iceland

3. Iceland

Ranking third with an average life evaluation of 7.515, Iceland holds the highest position for social support (1st), significantly boosting its overall score. The Land of Fire also performs strongly in GDP per capita (8th), freedom (3rd), and generosity (5th). While perceptions of corruption rank lower at 31st, this has a smaller impact on the overall evaluation. 

Avg. annual salary: ISK 8,000,000 (£48,594/$64,573) per year

Avg. life expectancy: 83.6 years old

Unemployment rate: 3.1%

Cost of living index: 97.13 (very high)

Level of crime: 20.29 (low)

Pollution index: 16.67 (very low)

Rooftops at sunset in a small Swedish town

4. Sweden

Sweden places fourth, with an average life evaluation of 7.345, driven by strong scores in GDP per capita (12th), perceptions of corruption (5th), and a high generosity ranking (20th). While social support ranks lower than its Nordic neighbours at 27th, it still accounts for a significant portion of the overall score. 

Avg. annual salary: SEK 481,200 (£37,250/$49,367) per year

Avg. life expectancy: 83.6 years old

Unemployment rate: 9.7%

Cost of living index: 63.16 (moderate)

Level of crime: 53.42 (moderate)

Pollution index: 17.66 (very low)

Row of houses along a canal in Amsterdam, the Netherlands

5. The Netherlands

The Netherlands come in fifth place, with an average life evaluation of 7.306. It scores particularly well in GDP per capita (6th) and generosity (9th), reflecting economic strength and a gift-giving culture. Perceptions of corruption (11th) and healthy life expectancy also contribute positively. 

Avg. annual salary: €44,000 (£37,984/$50,343) per year

Avg. life expectancy: 83.1 years old

Unemployment rate: 3.8%

Cost of living index: 69.11 (moderate)

Level of crime: 25.96 (low)

Pollution index: 20.91 (low)

Sandy beach beside a blue sea in Costa Rica

6. Costa Rica

Costa Rica ranks sixth, with an average life evaluation of 7.274. While its GDP per capita is relatively low (50th), strong results in freedom (13th) and emotional wellbeing help raise its score. Social support ranks moderately at 36th, and perceptions of corruption (70th) limit a higher score. 

Avg. annual salary: CRC 13,227,876 (£19,735/$26,169) per year

Avg. life expectancy: 81.3 years old

Unemployment rate: 7.5%

Cost of living index: 51.78 (low)

Level of crime: 60.46 (high)

Pollution index: 41.63 (moderate)

Small red house with mountains in the background in Norway

7. Norway

Norway takes seventh spot, with a life evaluation score of 7.262 out of 10, having previously held the top position in 2016. A very high GDP per capita (2nd) and strong social support (19th) contribute to its ranking. Freedom (17th) and low perceived corruption (8th) also boost its score.

Avg. annual salary: NOK 637,800 (£46,716/$61,903) per year

Avg. life expectancy: 83.3 years old

Unemployment rate: 5.4%

Cost of living index: 80.18 (high)

Level of crime: 32.22 (low)

Pollution index: 18.24 (very low)

An ancient city in Israel boarded by palm trees and stone walls

8. Israel

Israel's eighth-place ranking includes an average life evaluation score of 7.234 out of 10. Strong social support (13th), generosity (19th), and a high GDP per capita (25th) contribute significantly to its ranking. However, perceptions of freedom (87th) and corruption (32nd) have smaller impacts. 

Avg. annual salary: NIS 176,500 (£39,409/$52,234) per year

Avg. life expectancy: 82.7 years old

Unemployment rate: 3.6%

Cost of living index: 72.11 (high)

Level of crime: 29.72 (low)

Pollution index: 56.57 (moderate)

Bridge with a tram and old buildings in Luxembourg

9. Luxembourg

Luxembourg ranks ninth, with a life evaluation score of 7.122 out of 10. The wealthy nation has averaged a position of 14th since the first World Happiness Report in 2012. GDP per capita accounts for its largest share (28.5%) of the happiness score, followed by social support (21.9%) and freedom (13.1%). 

Avg. annual salary: €75,919 (£65,560/$86,879) per year

Avg. life expectancy: 83.3 years old

Unemployment rate: 5.9%

Cost of living index: 74.94 (high)

Level of crime: 26.33 (low)

Pollution index: 20.78 (low)

Aerial view of an old city in Mexico

10. Mexico

Mexico rounds out the top ten, its highest ranking, with an average life evaluation score of 6.979. Social support (61st) ranks modestly, while GDP per capita is 57th. Freedom (27th) is the most significant contributor to Mexico's jump from 25th (2023) to 10th. 

Avg. annual salary: MXN 350,400 (£14,043/$18,623) per year

Avg. life expectancy: 74.6 years old

Unemployment rate: 2.7%

Cost of living index: 39.36 (very low)

Level of crime: 59.80 (moderate)

Pollution index: 58.18 (moderate)

*figures accurate as of 2025

Sources: numbeo.com, remotepeople.com, macrotrends.net, tradingeconomics.com

About the author

John Henderson

John Henderson is the co-founder and managing director of Seven Seas Worldwide, a family-owned international shipping company established in 1996. With decades of expertise in international shipping, customs regulations, trade laws, freight logistics, and customer support, he ensures individuals, expats, students, and retirees receive expert guidance at every stage of their shipping journey.