The Best & Worst Countries for Expats in 2025

• 1st for the Second Year in a Row: Panama
• Your Money Takes You Far in Colombia (2nd)
• A Welcoming Local Culture in Mexico (3rd)
• An Insular Society in Kuwait (46th)
• A Fearsome Language Barrier in Türkiye (45th)
• South Korea (44th) Loses Big in the Ranking
• Trends in the Top 10
• Trends in the Bottom 10
• Further Reading
• External Resources

1st for the Second Year in a Row: Panama

In the 2025 Expat Insider survey, Panama (1st) holds on to its crown. All of its five indices place in the top 3, and a whopping 94% of expats there are happy with their life abroad.

Panama is the place to be for retirees: 35% of respondents are already retired (vs. 11% globally), and 18% say their primary motivation for moving was to retire there (vs. 3%). And Panama doesn’t disappoint in terms of Quality of Life, placing 3rd. There’s plenty of opportunities to travel (3rd), public transportation is affordable (5th), and the natural environment is stellar (2nd). There are also plenty of options for dining (8th) and recreational sport (4th).

Before moving to Panama, 26% of expats said they had no concerns (vs. 16% globally). Once there, they find the availability of green goods and services (32nd), infrastructure for cars (30th), and the availability of administrative or government services online (30th) to be poor — minor concerns for expats who are the happiest across the survey with their life abroad in Panama (1st). And in fact, more than a third (35%) plan to stay forever (vs. 24% globally).

Such a decision is unsurprising, with friendly locals and a welcoming culture (Ease of Settling In 2nd) as well as a comfortable life with the disposable income available to expats who are overall satisfied with their financial situation (Personal Finance 3rd).

Handling the Expat Essentials — from visas to housing — is hardly an issue (Panama ranks 2nd in the index). And for the ones not yet retired, the country offers an amazing experience Working Abroad (1st).

Find out more in the index-specific articles linked at the end.

Your Money Takes You Far in Colombia (2nd)

From 5th in 2024, Colombia now ranks 2nd out of 46 destinations in 2025. Personal Finance (2nd) is the best-performing index, with the low cost of living (3rd) a big plus for expats: 81% are satisfied with their financial situation in Colombia (vs. 54% globally).

However, financial reasons weren’t the main draw for expats to relocate. Instead, the same share of expats (17%) cited a better quality of life (vs. 7% globally); love (vs. 9%); and job-related reasons (vs. 36%). Regarding the latter, the share is almost 20 percentage points lower than the global average; in fact, more than half of respondents in Colombia (57%) aren’t doing any paid work for one reason or another (vs. 30% globally). And yet, 92% of respondents say their disposable household income is enough to lead a comfortable life (vs. 69%).

In addition to good finances, expats in Colombia are happy with their social lives and feel at home among friendly locals (Ease of Settling In 3rd). Importantly, housing is affordable (2nd) and easy to find (5th). However, there’s a lack of availability of government services online (41st), and it isn’t easy getting by without speaking Spanish (39th). This varying performance in factors places the Expat Essentials Index 9th.

One major concern prior to their move — cited by 43% of respondents — is the lack of safety and security (vs. 7% globally). It’s a tangible concern, as the Safety & Security Subcategory ranks in the bottom 10 (39th). A quarter of expats in Colombia (25%) view their personal safety negatively (vs. 9% globally), and an even higher share (40%) say the political situation is unstable (vs. 18%). This places the Quality of Life Index in 18th, despite abundant Leisure Options (7th) and good Healthcare (9th).

A Welcoming Local Culture in Mexico (3rd)

Rounding up the top 3 is Mexico. Three of its indices — Ease of Settling In (1st), Expat Essentials (7th), and Personal Finances (8th) — can be found in the top 10.

Since 2014, Mexico has consistently placed in the top 3 of the Ease of Settling In Index. Expats find it easy to get used to the local culture (1st) and make local friends (1st), with 35% describing their friends and acquaintances as mostly locals — more than double the global average of 16%. It’s unsurprising expats feel both welcome (2nd) and at home (2nd) there.

Despite a great social life, the Quality of Life is just average (23rd). Most of the heavy lifting is done by the Leisure Options (2nd) and Healthcare (19th) Subcategories, while Travel & Transit (31st), Safety & Security (33rd), and Environment & Climate (35th) linger close to the bottom 10. Although the weather is great (8th), the air quality is poor (39th). Personal safety is also an issue (39th); similarly to Colombia, a higher share than the global average cited the lack of safety and security as their biggest concern before moving to Mexico (29% vs. 7% globally).

So why do expats move to Mexico? The most cited reasons are job related (24% vs. 36% globally), followed by a better quality of life (17% vs. 7%). Expats appreciate their personal career opportunities (8th) and work–life balance (8th) but are unhappy with their working hours (31st) and job security (27th). Overall, 67% of respondents are satisfied with their jobs (vs. 60% globally). This lands the Working Abroad Index in above-average 14th place.

But like Panama and Colombia, there’s a higher share of expats in Mexico that are already retired compared to the global average (31% vs. 11%). Satisfaction with their financial situation (3rd) could play a part in why 39% of respondents plan to stay forever in Mexico (vs. 24% globally).

An Insular Society in Kuwait (46th)

No stranger to last place is Kuwait in 46th. Not only are the Quality of Life and Ease of Settling In Indices also in last place, but so is expats’ overall happiness with their life in Kuwait (46th). And at 10 percentage points higher than the global average, 17% of expats plan to leave the country within a year.

The majority of respondents (70%) moved to Kuwait for job-related reasons (vs. 36% globally); in fact, 93% are working full time (vs. 56% globally). Yet the Working Abroad Index is in the bottom 10 (38th). Although the state of the economy is strong (8th), expats aren’t satisfied with their job security (45th) or work–life balance (44th) and don’t agree that they’re paid fairly for their work (44th).

Indeed, 38% of expats in Kuwait don’t feel their disposable household income is enough to lead a comfortable life (vs. 31% globally). And around the same share as the global average is satisfied with their financial situation (56% vs. 54%). So although Personal Finance is Kuwait’s best-performing index, it’s in a below-average 29th place.

Expats’ biggest concern before moving was the climate & weather (43% vs. 16% globally). Once there, about half (49%) give this factor a negative rating. And there’s no pleasant natural environment (46th), urban environment (42nd), or good air quality (44th) to distract from the desert heat. Other subcategories of the Quality of Life similarly disappoint with the lack of culture & nightlife (46th), public transportation (39th), and opportunity to travel (42nd). The availability of healthcare (26th) and the dining options (24th) are at least less dire.

Though expats may have to contend with dining out alone as it’s difficult to build a social life in Kuwait. The Ease of Settling In Index places last thanks in part to the perceived unfriendliness of locals in general (46th) and towards foreign residents (46th), as well as the difficulty getting used to the local culture (44th).

A Fearsome Language Barrier in Türkiye (45th)

Like Kuwait, Türkiye (45th) is no stranger to the bottom 10. Except for Ease of Settling In, every index can also be found in the bottom 10. About a quarter of expats in Türkiye (26%) are unhappy with their life abroad (vs. 15% globally), and a similar share (23%) is planning to leave as soon as possible to within a year (vs. 11%).

Although the Ease of Settling In (32nd) is the best-performing index, expats struggle with feeling at home in Türkiye (37th) and find the locals to be unfriendly towards foreigners (34th). Nevertheless, the best-performing factor across the index is making local friends: 42% of respondents say it’s easy (vs. 38% globally). Interestingly, the second-most cited concern before moving to Türkiye was loneliness/isolation (22% vs. 24%).

And the most cited? The language barrier (54% vs. 32% globally). Indeed, about half of expats (48%) say it’s difficult to get by without speaking Turkish (vs. 34%). This could be one reason why it’s difficult to deal with the local bureaucracy/authorities (39th), find housing (36th), or open a local bank account (37th). Additional poor performance of factors across the index ranks Expat Essentials second-to-last (45th).

Another index in 45th place is Working Abroad, with all four of its subcategories in the bottom 10. About a third of respondents (31%) moved to Türkiye for job-related reasons (vs. 36% globally), yet a similar share (32%) doesn’t agree that moving improved their career prospects (vs. 22%). Expats find the state of the economy to be poor (46th) and are dissatisfied with their working hours (45th), job security (42nd), and job in general (44th).

The Quality of Life (41st) is in a similar position — expats are unsatisfied with being unable to openly express themselves and their opinions (45th); the political stability (43rd); and equal access to all kinds of healthcare services (39th). The silver lining: Türkiye has great weather (10th) and good availability of public transportation (18th).

South Korea (44th) Loses Big in the Ranking

In a stunning display of how fortunes change, South Korea tumbles from 23rd in 2024 to rank 44th out of 46 countries in 2025. All indices drop into the bottom 10, except for Quality of Life which instead loses its placement in the top 10. The recent political upheaval and economic turbulence in 2024 can soak up the blame,¹ but it doesn’t change the fact that expats are unhappy with their life in South Korea (42nd).

Still holding on are the Travel & Transit (12th) and Healthcare (15th) Subcategories of the Quality of Life Index (32nd). Nevertheless, the affordability of both transportation and medical care has taken a hit. And while expats feel safe in the country (7th), their view on political stability has expectedly worsened (40th).

South Korea’s Working Abroad Index (46th) is in the bottom 10, as are its four underlying subcategories. It’s the worst-performing country (46th) for personal career opportunities, working hours, work–life balance, fair pay for work, and general job satisfaction. For the 80% of respondents doing paid work, things could certainly be better.

A leading concern for expats prior to their move to South Korea is the language barrier (58% vs. 32% globally). Not speaking Korean could lock job seekers out of the local job market, which is negatively rated by 54% of expats. A high share of respondents (41%) work in the education field, including language education (vs. 11%) — the next most popular field is finance at only 11% of the share.

The language barrier also has knock-on effects on the Expat Essentials Index (44th). It could partly explain why expats find it difficult to open a local bank account (41st), find housing (38th), and deal with the local bureaucracy/authorities (36th). Indeed, more than half of respondents (53%) say it’s difficult to live in South Korea without speaking Korean (vs. 34% globally).

Trends in the Top 10

1. Panama
2. Colombia
3. Mexico
4. Thailand
5. Vietnam
6. China
7. UAE
8. Indonesia
9. Spain
10. Malaysia

There hasn’t been much change to the top 10 in 2025 — China (6th) and Malaysia (10th) are the only new arrivals. Together with Thailand (4th), Vietnam (5th), and Indonesia (8th), this means Asian countries dominate half of the list.

One thing that unites expats in these five countries is their satisfaction with Personal Finance, with the countries ranking in the top 10 of the index (from Vietnam’s 1st place to Malaysia’s 9th). Another great aspect is housing: expats find it both affordable and easy to find. In fact, China’s 11th place in the Housing Subcategory is the “worst” result here. What varies the most, however, is the Quality of Life Index, from China’s 6th place to Indonesia’s 40th. But one thing’s for sure, expats won’t run out of culinary and dining options, as all five countries rank in the top 10 for this factor.

Overall, expats living in these countries rank their happiness in the top 10, with the exception of Malaysia (15th).

The top three positions are occupied by the Latin American countries Panama (1st), Colombia (2nd), and Mexico (3rd). Their commonality is a friendly and welcoming culture, with no shortage of a social life as indicated by a stellar Ease of Settling In Index: all its underlying subcategories and factors rank in the top 5; only Panama’s Local Friendliness sees 6th place. They’re also hotspots for retirees, with a high share of expats (25% or more vs. a global 11%) saying they’re already retired.

The UAE (7th) and Spain (9th) are geographically the odd ones out. Although they occupy the top two positions in the Quality of Life Index, they begin to diverge when it comes to Expat Essentials (UAE 1st, Spain 23rd) and Working Abroad (5th, 27th). It’s not all smooth sailing for the UAE as expats are unsatisfied with their disposable household income (38th vs. Spain’s 18th) and rank their happiness with their life abroad (17th) lower than expats in Spain (4th).

Trends in the Bottom 10

37. Italy
38. Sweden
39. Norway
40. Canada
41. United Kingdom
42. Germany
43. Finland
44. South Korea
45. Türkiye
46. Kuwait

Similar to the top 10, there are only two new additions to the bottom 10 this year: Sweden slips a few spots to 38th place, while South Korea takes a major tumble of 21 places to rank 44th.

More than half of the bottom 10 is occupied by European countries: Italy (37th), Sweden (38th), Norway (39th), United Kingdom (41st), Germany (42nd), and Finland (43rd). Right off the bat, expats rank these countries in the bottom 10 when it comes to their happiness with their lives abroad — except for Italy, which is in a below-average 26th place.

Reasons for their unhappiness vary. For instance, while the three Nordic countries offer a great Environment & Climate (top 10 ranking), expats struggle with the Ease of Settling In (bottom 10). In the Expat Essentials Index, expats in Italy and Germany have a difficult time with Digital Life (Italy 40th, Germany 46th) and Admin Topics (46th, 42nd) in particular. Meanwhile, this index is the United Kingdom’s best performing one (24th). But expats there struggle with their Personal Finance (45th) as well as housing (41st) and medical (44th) costs.

South Korea (44th), Türkiye (45th), and Kuwait (46th) make up the bottom 3. Expats are in particular agreement that working in these countries is tough, with all three ranking in the bottom 10 of the Working Abroad Index (as well as the bottom 3 spots for Work Culture & Satisfaction).

Last but not least, Canada (40th) country features in the bottom 10 for the second year in a row. One major gripe of expats there? Finances. Whether it’s costs of public transportation (38th), housing (40th), or living (44th), settling in Canada is expensive.

Further Reading

• The Biggest Winners & Loser in 2025
• Expat Insider 2025: Methodology
• Where Expats Can Find the Best Quality of Life (& Where Not)
• Where to Go (or Avoid) for a Lively Social Circle
• Top Prospects, Good Hours & More: Countries for Your Career
• The Best (& Worst) Places for Your Finances in 2025
• Where It’s (Not So) Easy to Manage the Basics of Life Abroad
• Expat Insider 2024: The Best & Worst Countries for Living Abroad

External References

1. DW. South Korea’s political crisis dragging down economy. 1 Jun 2025.