India has made notable progress in the World Happiness Report 2025, climbing to the 118th spot out of 147 countries, up from 126th in 2023. The annual report—compiled by the Wellbeing Research Centre at the University of Oxford, in collaboration with Gallup and the UN Sustainable Development Solutions Network—evaluates countries based on key indicators like GDP per capita, social support, healthy life expectancy, freedom of choice, generosity, and perceptions of corruption.
While Finland maintained its reign as the world’s happiest country for the eighth consecutive year, India’s performance showed marginal improvement. Closer home, it’s not the metro cities but the smaller states that are leading in happiness and well-being.
Himachal Pradesh Tops the List
According to a HappyPlus Consulting survey, Himachal Pradesh has been ranked the happiest state in India for the second consecutive year. The credit goes to its high literacy rate, clean environment, tight-knit communities, and a balanced work-life culture.
Here’s a look at some of the Indian states that stand out on the happiness index:
Mizoram
Known for its close-knit community, high literacy, and peaceful living, Mizoram continues to be among the most content states in India.
Punjab
Punjab’s vibrant culture, agricultural prosperity, and delicious cuisine contribute to its joyful spirit. The sense of celebration and hospitality runs deep here.
Gujarat
With its strong economy, thriving industries, and rich heritage, Gujarat’s focus on community development and industrial success makes it one of the top happy states.
Sikkim
Nestled in the Himalayas, Sikkim’s breathtaking landscapes, focus on ecotourism, and calm atmosphere make it a peaceful haven for its residents.
Arunachal Pradesh
This northeastern gem is home to dense rainforests, tribal traditions, and cultural richness, offering a deep connection with nature and heritage.
Kerala
High literacy, a robust public healthcare system, and green surroundings make Kerala a model for holistic well-being and happiness.
Meghalaya
With its majestic waterfalls, cool climate, and emphasis on arts and crafts, Meghalaya’s beauty and culture elevate the everyday joy of its people.
While India’s global happiness rank still has room for growth, the state-level trends reflect meaningful progress, particularly in regions with strong community values, access to education, and nature-friendly policies.
Sources: World Happiness Report 2025, HappyPlus Consulting