Finland Named Happiest Country in the World for 8th Consecutive Year

For the eighth year in a row, Finland has been crowned the happiest country in the world, according to the 2025 World Happiness Report.

Released on March 20 to coincide with the United Nations' International Day of Happiness, the report places Denmark, Iceland, Sweden, and the Netherlands among the top five, with Costa Rica and Mexico making their debut in the top ten.

The rankings are based on self-reported life evaluations collected from 2022 to 2024 through the Gallup World Poll. Participants rated their lives on a scale from 0 (worst possible life) to 10 (best possible life).

The report also considers six key factors: GDP per capita, social support, healthy life expectancy, freedom, generosity, and perceptions of corruption.

Why Finland Stands Out

Finland’s continued dominance is attributed to its strong social safety net, trust in institutions, and low inequality in well-being. Ilana Ron Levey, managing director at Gallup, highlighted Finland's unique qualities:

"Finns have a belief in others, optimism for the future, and robust support from friends and family." She also noted that Finland experiences less disparity in happiness levels compared to countries like the United States.

The Nordic nation's emphasis on community and trust is further reflected in simple acts of kindness. For instance, Finland ranks highly in studies measuring the likelihood of returning lost wallets—an indicator of societal trust.

Other Nordic countries also maintain their positions at the top due to similar factors. Denmark (ranked second) boasts a strong welfare system that includes free healthcare, subsidized childcare, and tuition-free university education.

Despite high taxes, citizens report high satisfaction with their quality of life. Iceland (third) excels in social support and generosity, while Sweden (fourth) and Norway (seventh) benefit from strong civic engagement and environmental quality.

The report underscores that happiness is not solely tied to wealth or economic growth. Researchers found that factors such as sharing meals with others and having dependable social connections are critical to happiness.

In regions like Europe and Mexico, households with four to five members reported higher levels of life satisfaction.

Costa Rica (sixth) and Mexico (tenth) demonstrate that high happiness levels are achievable even without being among the world’s wealthiest nations. According to Ron Levey, "High life evaluation is possible when basic economic needs are met."

Top 10 Happiest Countries in the World

1. Finland

2. Denmark

3. Iceland

4. Sweden

5. Netherlands

6. Costa Rica

7. Norway

8. Israel

9. Luxembourg

10. Mexico

Decline in U.S. Rankings

While Nordic countries continue to lead, the United States fell to its lowest-ever ranking at 24th place, down from 23rd last year.

The report attributes this decline to increasing social isolation and diminishing optimism among younger Americans.

It notes a sharp rise in solitary dining—one in four Americans reported eating all meals alone in 2023—a trend linked to lower happiness levels across all age groups.

With Finland leading by example for nearly a decade, other nations may look to its model of societal trust and equality as they strive to improve their citizens' happiness and quality of life.