The 2025 World Happiness Report (pdf) emphasises the significant impact of caring and sharing on individual and collective happiness. It draws a parallel to the concept of “mercy” in Shakespeare’s “The Merchant of Venice,” suggesting that caring behaviours are “twice-blessed,” benefiting both those who receive care and those who provide it.
The report delves into the dual effects of caring: it enhances the wellbeing of recipients and also brings fulfilment and satisfaction to those who engage in caring actions. This theme underscores the reciprocal nature of compassion and its role in fostering happier societies.
The Top 10 Happiest countries in 2025
| Rank | Country |
| 1 | Finland |
| 2 | Denmark |
| 3 | Iceland |
| 4 | Sweden |
| 5 | Netherlands |
| 6 | Costa Rica |
| 7 | Norway |
| 8 | Israel |
| 9 | Luxembourg |
| 10 | Mexico |
Top performers
- Finland: Maintains the highest happiness score with strong social support, high GDP per capita, and low levels of corruption.
- Denmark, Iceland and Sweden: Follow closely behind Finland, with solid social support networks, efficient and clean governance, robust social systems and high levels of personal freedom and trust in society.
- Netherlands: Also ranks highly due to strong economic performance and lower happiness inequality and high level of generosity.
Countries with notable improvements
- Mexico and Costa Rica: have entered the global top 10 for the first time. The improvement is attributed to its strong family and community bonds, cultural ethos, strong social systems and low corruption
- India: improved from 126th to 118th position. The reasons for India’s improvement include increased GDP per capita, higher personal freedom, and reduced perception of corruption.
Countries with declines
- Afghanistan: remains the unhappiest nation, ranking 147th. The country continues to face severe hardships, particularly for women, under Taliban rule.
- United Kingdom: happiness level has reached its lowest since 2017, ranking 23rd. Factors contributing to the decline include economic uncertainty, post-Brexit challenges, and concerns over mental health and well-being.
- Sierra Leone: is ranked 146th, near the bottom of the list. It is ranked as the least happy country in Africa and the second least happy in the world due to a combination of factors including economic hardship, weak social support systems, healthcare challenges, education deficiencies, governance concerns, and social and political instability.
Global Happiness Trends 2025
The World Happiness Report 2025 reveals a compelling link between kindness, social connections, and wellbeing. Amid rising global challenges, acts of care and generosity emerge as critical drivers of happiness. Here are the key trends shaping wellbeing worldwide.
Benevolence Boosts Happiness: People consistently underestimate the kindness of others. Experiments show lost wallets are returned far more often than expected. Correcting this pessimism through evidence of real-world benevolence can enhance wellbeing. Post-pandemic acts like donating and volunteering remain 10% above pre-COVID levels globally. This “benevolence bump” benefits both givers and receivers, particularly when actions are voluntary and impactful. Societies with higher trust levels also enjoy more equal happiness distributions.
Sharing Meals Strengthens Bonds: Sharing meals is a universal yet underrated happiness booster. Those who dine with others report higher life satisfaction, comparable to the effects of income or employment. Alarmingly, solo dining has surged – 1 in 4 Americans now eat all meals alone, a 53% rise since 2003. Countries with frequent meal-sharing exhibit stronger social support networks and lower loneliness.
Household Size Matters: Living with others enhances happiness, but size plays a role. Households of four to five report peak wellbeing, common in Latin America’s close-knit families. Solo living correlates with lower happiness, while very large households risk economic strain. Policymakers are urged to consider how housing and economic policies impact family dynamics.
Youth Loneliness and Interventions: Young adults face a loneliness crisis: 19% globally lacked social support in 2023, up 39% since 2006. Misjudging peers’ empathy often deters connection. Successful interventions, like Stanford University’s programme showcasing peer kindness, increased students’ social engagement and happiness. Early friendships in university also reduce long-term depression risks.
Deaths of Despair Decline—But Not Everywhere: Deaths from suicide, alcohol, and drugs have fallen in 75% of countries since 2000, yet remain high in the US and South Korea. Men and those over 60 are most affected. Prosocial acts like volunteering correlate with fewer deaths—a 10% rise in such behaviour could save 1 life per 100,000 annually.
Trust Shapes Politics: Declining happiness and trust fuel political polarisation. Unhappy individuals gravitate toward populism, with low-trust groups leaning right and high-trust groups left. Rebuilding social trust could mitigate extremism.
Smart Charitable Giving: Donors can maximise impact by supporting cost-effective charities. Mental health initiatives in low-income countries deliver exceptional “wellbeing per pound”, outperforming many larger organisations. The report urges better evaluation of charity outcomes to guide giving.
Methodology
The World Happiness Report assesses global happiness using subjective well-being data from the Gallup World Poll. Respondents rate life satisfaction on a scale of 0 to 10.
The report evaluates six core factors: social support, GDP per capita, healthy life expectancy, freedom, generosity, and corruption perceptions. These are weighted and aggregated into a composite score. Statistical techniques like regression analysis ensure cross-cultural validity and control for confounding variables.
The methodology integrates insights from psychology, economics, and sustainable development to contextualize findings and highlight policy implications, ensuring rankings are scientifically robust and globally relevant.
Conclusion
Happiness isn’t just about economic growth—it’s about the quality of human connections. The World Happiness Report 2025 shows that trust, kindness, and prosocial behaviour are the building blocks of resilient and fulfilling societies. Small actions, guided by evidence and empathy, can drive big change.
Whether you’re a business leader, policymaker, or community activist, these insights offer practical ways to enhance wellbeing. By strengthening social ties, rebuilding trust, and optimising charitable giving, individuals and organisations can create lasting positive change.
The message is clear: caring and sharing aren’t just moral choices—they’re powerful tools for building happier, healthier communities.
For more detailed data and insights, visit the World Happiness Report website.
Enjoyed this snapshot of world’s happiest countries? You might like to explore our Country Observatory for snapshots of how countries perform across leading rankings in terms of economic competitiveness, sustainability, soft power and reputation.
