Sri Lanka has been ranked 134th out of 147 countries in the World Happiness Report 2026, slipping one place from 133rd a year earlier and trailing most of its South Asian neighbours. The report, published annually by the UN Sustainable Development Solutions Network using Gallup World Poll data, places Sri Lanka among the world’s least happy nations.
Youth wellbeing emerged as the most concerning indicator in the country profile. Approximately 18% of young people aged 13 to 17 report experiencing depression, while 22.4% say they feel lonely. Around 11.9% reported difficulty sleeping due to worry. The 2026 report identifies excessive social media use as a growing factor contributing to declining life satisfaction among young people globally, with Sri Lankan teenagers cited among those affected.
Researchers attribute the country’s persistently low ranking to the lingering impact of the 2022 economic collapse, slow recovery in disposable incomes, and rising cost-of-living pressures. The destruction caused by Cyclone Ditwah in November 2025 — which left 646 dead and inflicted $4.1 billion in damage — was cited as an additional shock weighing on subjective wellbeing.
Sri Lanka now sits below India, Pakistan, and Bangladesh in the index, an outcome the report describes as “the first time that Sri Lanka has suffered such a decline” in the regional comparison.
The findings illustrate a widening gap between macroeconomic recovery and lived experience. While GDP growth, inflation, and the rupee have stabilised under the IMF programme, household budgets remain stretched and confidence in long-term prospects has not returned. Mental health professionals have repeatedly warned that the post-crisis generation will need targeted policy support that the current fiscal envelope does not yet accommodate.