The annual World Happiness Report, published on the UN’s International Day of Happiness, has once again named Finland as the world’s happiest country. For the eighth consecutive year, Finland topped the list, with its citizens reporting an average life satisfaction score of 7.74 out of 10, according to Fortune.
“They’re wealthy, they’re healthy, have social connections, social support, [and] a connection with nature,” said Jan-Emmanuel De Neve, an economics professor at the University of Oxford and editor of the report. “They’re not outwardly jubilant or dancing in the streets, but they are very content with their lives.”
Nordic countries continued to dominate the rankings, with Denmark, Iceland, Sweden, and the Netherlands rounding out the top five. Notably, Costa Rica (No. 6) and Mexico (No. 10) made it into the top 10 for the first time, while the U.S. dropped to No. 24—its lowest position to date. Other high-ranking nations included Norway (No. 7), Israel (No. 8), and Luxembourg (No. 9).
Here are the top 10 happiest country:
- Finland
- Denmark
- Iceland
- Sweden
- Netherlands
- Costa Rica
- Norway
- Israel
- Luxembourg
- Mexico
The happiest countries report highlighted growing disparities in global happiness. While Nordic nations continue to improve, the U.S. has declined, largely due to economic inequality. De Neve pointed out that although the U.S., Australia, and the UK have similar GDP per capita to Nordic countries, they experience greater wealth disparity. “In Scandinavian country, economic growth benefits everyone, leading to lower inequality and higher overall well-being,” he explained. “In Finland, most people rate their happiness around seven or eight, whereas in the U.S., there are many tens—but also many ones.”
Beyond economic factors, the study underscored the role of social trust and human connection. A key finding was the strong correlation between happiness and an individual’s belief in others’ kindness. In Nordic countries, people have higher expectations that lost wallets will be returned—and in reality, they often are.
Community ties also play a crucial role in overall well-being. Simple social interactions, such as sharing meals, help build trust and boost happiness. “The more you believe in the kindness of others, or in other words, are socially trusting, the higher your personal well-being and the better the collective well-being,” De Neve said. “Nordic countries perform well both in believing in others’ kindness and in actual acts of honesty, such as returning lost wallets.”
The rise of Mexico and Costa Rica in the rankings was attributed to strong social bonds. Latin American nations reported some of the highest frequencies of shared meals per week and ranked well in community trust. However, the report also noted that these countries experienced a significant drop in happiness during the COVID-19 pandemic, demonstrating the profound impact of social isolation on well-being.