Why in News?

The World Happiness Report 2025, published by the Wellbeing Research Centre at the University of Oxford, ranks Finland as the happiest country for the eighth consecutive year.

It highlights an improvement in India’s happiness score and ranking over the past three years. However, despite its economic and governance advantages, India continues to lag behind Pakistan in overall happiness rankings.

The rankings are based on Gallup surveys and the UN Sustainable Development Solutions Network.

What’s in Today’s Article?

• Methodology of the World Happiness Report
• Key Highlights of the World Happiness Report 2025
• India’s Ranking and Performance
• Discrepancies in India’s Rankings
• Conclusion

Methodology of the World Happiness Report:

• Life evaluations: Based on responses from the Gallup World Poll, where people rate their life on a 0-10 scale using the Cantril Ladder method.
• Three-year average: The 2025 rankings are based on data collected from 2022 to 2024.
• Key indicators considered: While the rankings are not based on an index, six primary factors influence happiness scores:
  • GDP per capita
  • Healthy life expectancy
  • Social support
  • Perceived freedom to make life choices
  • Generosity
  • Perception of corruption

Key Highlights of the World Happiness Report 2025:

• Top-ranked countries:
  • Nordic dominance: Finland, Denmark, Iceland, and Sweden occupy the top four positions.
  • New entrants in top 10: Costa Rica (6th) and Mexico (10th) made it to the top ten for the first time.
  • Israel (8th): Despite the ongoing war with Hamas, Israel secured a high position in the rankings.
• Determinants of happiness:
  • Beyond economic growth, trust, social connections, and support networks play a crucial role in happiness.
  • Household size: In Mexico and Europe, families with four to five members report the highest happiness levels.
  • Belief in kindness: Trust in strangers returning a lost wallet strongly correlates with national happiness.
• Declining happiness in the west:
  • United States (24th): Dropped from 11th (2012) due to increased isolation, with a 53% rise in people dining alone over two decades.
  • United Kingdom (23rd): Lowest happiness level since 2017.
• Least happy countries:
  • Afghanistan: Continues to be the unhappiest, with Afghan women facing extreme hardship.
  • Sierra Leone and Lebanon ranked second and third lowest.
• Global social support decline: 19% of young adults reported having no one to rely on.

India’s Ranking and Performance:

• Improved ranking: India moved up from 126th (out of 143 countries last year) to 118th (out of 147 countries).
• Score increase: India’s happiness score rose from 4.054 to 4.389 (on a scale of 10).
• Sub-indicators:
  • 57th for donations.
  • 10th for volunteering.
  • 74th for helping a stranger.
  • Wallet return probability: 115th (by neighbor), 86th (by stranger), 93rd (by police).
• Comparison with neighbors: India ranked below Nepal, Pakistan (109th), Ukraine, and Palestine in overall happiness.

Discrepancies in India’s Rankings:

• Lower ranking than Pakistan: Despite India’s superior economic and governance indicators, it ranks lower than Pakistan in happiness.
• Economic strength: India’s per capita income ($2,480.8 in 2023) is significantly higher than Pakistan’s ($1,365.3).
• Health indicators: India’s healthy life expectancy (58.1 years in 2021) is slightly better than Pakistan’s (56.9 years).
• Corruption perception: India ranked 96th in the Corruption Perceptions Index 2024, much better than Pakistan (135th).

Conclusion:

India’s improvement in happiness ranking signals progress, but the methodology of the report raises concerns as it does not fully account for economic strength, health, and governance. The rankings suggest that social factors, trust, and well-being perceptions play a larger role in determining happiness than material prosperity alone.

According to Gallup CEO (Jon Clifton), happiness isn't just about wealth or growth - it's about trust, connection, and knowing people have your back. Investing in one another is essential if we want stronger economies and communities.