In a significant update in global happiness rankings, Finland continues to stand as the happiest country in the world for the eighth consecutive year, according to the latest World Happiness Report released on March 20, 2025. Meanwhile, Australia has dropped out of the top 10, landing at 11th place, with New Zealand following closely at 12th.
The World Happiness Report, a collaboration involving the Wellbeing Research Centre at the University of Oxford, Gallup, and the UN Sustainable Development Solutions Network, assesses happiness based on responses from over 140 countries. The report utilizes data from a Gallup survey conducted over the previous three years, 2022 to 2024, focusing on how individuals evaluate their lives on a scale from 0 (worst possible) to 10 (best possible).
The report highlights several contributing factors to happiness, with social support, perceptions of kindness, and interpersonal trust ranking high among them. As John Helliwell, an economics professor emeritus at the University of British Columbia and a founding editor of the report, noted, "People’s fellow citizens are better than they think they are, and to realize that will make you happier, of course. Those are individuals caring about the people with whom they live." This sentiment aligns with the report's findings, which indicate that social connections play a vital role in individual happiness.
This year’s report sheds light on non-traditional indicators of well-being. Jan-Emmanuel De Neve, an editor of the report and professor of economics at the University of Oxford, pointed out that the significance of sharing meals and trusting others emerged as even stronger predictors of well-being than previously thought. "It turns out that sharing meals and trusting others are even stronger predictors of wellbeing than expected," he stated. He emphasized that in a time marked by social isolation and political polarization, finding ways to reconnect is critical for enhancing both individual and collective well-being.
In the latest rankings, Finland retained its top position, scoring an average of about 7.7 out of 10. Denmark, Iceland, and Sweden followed in second, third, and fourth place, respectively. The Netherlands occupied the fifth position. For the first time in the report's history, Costa Rica claimed the sixth spot, with Mexico at tenth. Israel achieved eighth place while Luxembourg maintained the ninth position.
The news is not as rosy for the United States, which has recorded its lowest happiness ranking yet, placing at 24th—one spot below the United Kingdom. This decline reflects a broader trend of increasing unhappiness and social isolation, particularly among younger Americans. According to the report, many young people reported feeling less supported by their social circles, contributing to their overall dissatisfaction.
The United Kingdom, currently ranked 23rd, is also experiencing its lowest average life evaluation since 2017. Canada remains at 18th place but has seen declines in happiness measures over the past decade.
As observed by Helliwell, addressing the declining happiness seen in countries like the US and UK emphasizes the need for fostering social connections. "Look seriously at the people with whom you are working, with whom you are living, who are on your streets, and put on a rosier set of glasses when you’re dealing with them. And that’ll change your behavior in traffic. It’ll change your behavior in political discussions. It’ll change everything,” he advised.
As nations reflect on the implications of this year's findings, it becomes clear that societal factors—including trust, kindness, and community support—carry weight in determining happiness levels. As both researchers and policymakers work toward understanding and improving social systems, the core message remains: happiness is deeply rooted in social connections.
Closing out the list of these happiness rankings, Afghanistan has once again been named the unhappiest country in the world. Following Afghanistan are Sierra Leone, Lebanon, Malawi, and Zimbabwe, countries facing vast challenges that impact their citizens' overall well-being.
In summary, the latest World Happiness Report paints a mixed picture of global happiness in 2025. While Finland continues to shine, nations like the US and UK grapple with escalating unhappiness, reinforcing the notion that fostering trust and kindness within communities is crucial for enhancing the collective happiness of societies around the world.
