Iceland has been ranked as the most peaceful country on Earth in the 2025 Global Peace Index (GPI), produced by the Institute for Economics & Peace. This index evaluates 163 countries based on factors such as societal safety, domestic and international conflicts, and militarization. Iceland’s top position highlights its stunning natural landscapes—volcanoes, hot springs, and rugged coasts—while offering a serene environment that attracts travelers seeking tranquility.
Key Factors Contributing to Peace
The GPI emphasizes that peaceful nations like Iceland foster stability through equitable governance, environmental stewardship, and minimal military spending. Iceland prioritizes diplomacy, sustainable practices, and collective security arrangements, avoiding large defense budgets. These elements not only maintain low crime rates and social harmony but also correlate with economic benefits, such as faster growth, lower borrowing costs, and greater resilience to crises.
Top-Ranked Countries and Shared Traits
Following Iceland, the top five include Ireland, New Zealand, Austria, and Switzerland. These countries share common attributes: strong democratic institutions, low crime levels, effective social welfare systems, and neutral stances in global conflicts. For instance, Ireland maintains neutrality and fair elections, New Zealand focuses on rapid conflict resolution and community support, while Austria and Switzerland emphasize international diplomacy and humanitarian aid.
Global Peace Trends and Challenges
Despite these exemplars, global peace has declined by an average of 5.4% since the GPI’s inception in 2008. The number of active state-based conflicts reached 59 in 2023—the highest since World War II—driving down overall scores. Regions like Europe and the Middle East have been particularly affected, with wars in Ukraine and elsewhere exacerbating instability.
Notable Low Rankings
Russia ranks as the least peaceful country in 2025, followed closely by Ukraine, due to ongoing conflict causing widespread devastation. The United States places 128th, behind countries like Honduras and Bangladesh, primarily due to its massive military expenditures and global engagements. Other low-rankers include North Korea (149th) and Israel (155th), underscoring how militarization and external involvements impact scores.
Regional Improvements
Amid the global downturn, some areas show progress. South America has seen gains, with Peru and Argentina addressing social unrest and economic issues, leading to reduced violence and improved rankings. In Sub-Saharan Africa, Mauritius, Botswana, and Namibia remain relatively peaceful, drawing tourists for their wildlife, beaches, and stable environments.
Links to Happiness, Economy, and Travel
Peace is closely tied to happiness, as evidenced by Iceland’s high ranking in the World Happiness Report. Peaceful nations promote well-being through safe communities and social trust. Economically, they experience stronger growth and lower risks. For travelers, top-ranked countries like Iceland, Ireland, and New Zealand offer safe, enriching experiences, from geothermal relaxation to cultural immersion, making them ideal destinations in an increasingly turbulent world.
Lessons and Future Outlook
The GPI, which assesses 23 indicators including incarceration rates and arms exports, reveals stark disparities between peaceful and conflict-ridden areas. It urges nations to reduce militarization, promote dialogue, and address inequalities to reverse the decline. As climate challenges like storms test resilience, peaceful societies demonstrate the value of community cooperation. In a world of rising conflicts, Iceland and its peers serve as models for building enduring stability.
