Tokyo, together with the Greater Tokyo Area, is the most populous metropolitan area in the world, with 39 million residents. Japan‘s capital city since 1869, it has extensive economic, political, and social power in the Asian region.
But how is Tokyo performing in terms of city reputation and influence, business attractiveness, and sustainability, according to leading rankings and indices?
Overview of Tokyo’s Performance & Potential
The following table offers an overview of Tokyo’s overall performance across various international rankings. For a deeper analysis, our custom reports provide tailored insights for specific contexts, such as cities, regions, or countries.
| Ranking | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| Brand Finance Global City Index | – | – | – | – | 7 | 4 | – |
| Resonance World’s Best Cities | – | 4 | 5 | 4 | 4 | 4 | 4 |
| Global Financial Centres Index | – | 3 | 7 | 9 | 21 | 19 | 22 |
| 2Thinknow Innovation Cities Index | 2 | – | 1 | – | 1 | – | – |
| Kearney Global Cities Index | 4 | 4 | 4 | 4 | 4 | 4 | – |
| Mercer Quality of Living Ranking | 49 | – | – | – | 50 | 56 | – |
| Mercer Cost of Living Ranking | 2 | 3 | 4 | 9 | 19 | 49 | – |
| Numbeo Cost of Living Index | – | 18 | 24 | 35 | 87 | 169 | 143 |
| Numbeo Quality of Life Index | – | 77 | 101 | 92 | 83 | 35 | 96 |
| IESE Cities in Motion Index | 6 | 4 | – | 4 | – | 4 | 4 |
| Arcadis Sustainable Cities Index | – | – | – | 3 | – | 22 | – |
City Brand Strength
Tokyo stands as one of the world’s most influential and forward-looking cities, renowned for its innovation, cultural depth, and global economic power. Ranked 4th in Brand Finance’s Global City Index 2024, 4th in Resonance Consultancy‘s World’s Best Cities 2025 report, and 4th in Kearney’s Global Power City Index 2024, Tokyo combines immense economic strength with unmatched cultural vibrancy and urban dynamism, positioning it as a true global capital of the future.
Appeal to Investors and Business
Tokyo stands as a global powerhouse of innovation and resilience, blending cutting-edge technology with deep cultural and financial foundations. Ranked 1st in 2Thinknow’s Innovation Cities 2023 Index, the city leads the world in technological advancement, digital transformation, and research excellence, supported by a highly skilled workforce and robust infrastructure. Its 22nd position in the GFCI 37 Rank reflects a strong but regionally focused role in global finance, complementing its reputation as a forward-looking megacity that balances economic strength, cultural vibrancy, and sustainable urban development.
Appeal to Talent
Tokyo combines a dynamic urban lifestyle with a reputation for innovation, cultural depth, and global connectivity. Ranked 56th in Mercer’s Quality of Living Ranking 2024 and 96th in Numbeo’s Quality of Life Index 2025, the city offers excellent healthcare, safety, and public services, though challenges such as congestion, housing pressures, and work-life balance temper its overall livability. On the cost side, Tokyo sits at 49th in Mercer’s Cost of Living Index 2024 and 143rd in Numbeo’s Cost of Living Index 2025, reflecting a moderate-to-high cost profile that is manageable compared to other global capitals, with living expenses shaped by dense urban demand and a premium metropolitan lifestyle.
Urban Sustainability
Tokyo is a global leader in urban innovation and sustainable development, seamlessly integrating its rich cultural heritage with advanced infrastructure and forward-looking policies. Ranked 4th in the IESE Cities in Motion Index 2025 and 22nd in the Arcadis Sustainable City Index 2024, the city excels in smart mobility, technological innovation, and resilient urban systems. Its commitment to efficiency, disaster preparedness, and sustainable growth positions Tokyo as a model for future-ready megacities balancing tradition with modernity.
Our Key Takeaways
Tokyo is a global innovation hub, renowned for its advanced technology sector, economic strength, and dynamic cultural landscape. The city thrives as a center for finance, manufacturing, and creative industries, supported by world-class universities, cutting-edge research, and a vast, highly skilled workforce. Its international appeal is further enhanced by its unique blend of tradition and modernity, efficient infrastructure, and global connectivity. However, challenges persist around aging demographics, housing pressures, and the need for continued adaptation in a fast-changing global economy.
- Strengths: Global leader in technology and innovation, strong financial and industrial base, highly skilled and educated workforce, world-class infrastructure.
- Weaknesses: Aging population, high population density, housing affordability concerns.
- Opportunities: Growth in AI, robotics, international investment and talent attraction.
- Threats: Global economic volatility, regional geopolitical tensions, increasing competition from other Asian megacities.
Last updated in August 2025. Explore more city profiles here.
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Disclaimer: The information in this article is intended to provide a general overview of Tokyo’s economic and cultural landscape and facilitate comparison over time. While we strive for accuracy and completeness, the data is provided “as is” without warranty of any kind. Please verify any information before relying on it for decision-making purposes.
