Finland named happiest country for 8th consecutive year; India rises to 118th rank
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Finland has once again been crowned the happiest country in the world for the eighth year in a row, according to the latest World Happiness Report 2025.
The annual report, released on the UN's International Day of Happiness, evaluates over 140 countries based on resident feedback and factors such as social support, health, freedom, generosity, perception of corruption, and GDP.
Scoring an average of 7.74 on a 0 to 10 scale, Finland continues to excel in various aspects that contribute to overall well-being. Experts attribute its consistent ranking to high-quality healthcare, strong social support systems, economic stability, and a deep connection with nature.
"They're wealthy, they're healthy, have social connections, social support, [and] a connection with nature. They're not happy, joyful, dancing in the streets type people, but they're very content with their lives," said Jan-Emmanuel De Neve, professor of economics at the University of Oxford and one of the report’s editors.
The Nordic countries continue to dominate the rankings, with Denmark, Iceland, Sweden, and the Netherlands following Finland in the top five. Meanwhile, Costa Rica and Mexico made their debut in the top 10, highlighting the growing emphasis on well-being in Latin America.
1. Finland
2. Denmark
3. Iceland
4. Sweden
5. Netherlands
6. Costa Rica
7. Norway
8. Israel
9. Luxembourg
10. Mexico
In contrast, the United States dropped to 24th place, its lowest ranking yet, while the United Kingdom ranked 23rd.
India has made notable progress, climbing from 126th place in 2024 to 118th in 2025. Despite this improvement, India still ranks lower than some conflict-affected nations like Ukraine, Mozambique, and Iraq.
The report highlighted India's strong social support system, rooted in community ties and large family structures, as a key factor in its ranking. However, the country continues to struggle with freedom of choice, indicating that many individuals feel limited in their ability to shape their lives.
Among its South Asian neighbors, Nepal ranked the highest at 92, followed by Pakistan (109) and China (68). Meanwhile, Sri Lanka (133) and Bangladesh (134) placed lower than India.
Afghanistan remains at the bottom of the list, making it the unhappiest country in the world. The report attributes this to severe hardships, particularly affecting women, whose lives have become increasingly restricted.
Following Afghanistan, Sierra Leone and Lebanon ranked as the second and third least happy nations, primarily due to conflict, poverty, and social instability.