For the third year running, Panama has been named the best destination for expatriates, according to the 2026 Expat Insider survey by InterNations. The poll gathered responses from nearly 8,000 expats representing 162 nationalities, measuring satisfaction across five indices: working abroad, personal finance, quality of life, expat essentials, and ease of settling in.
Panama came second in both the ease of settling in—which includes local friendliness and cultural adaptation—and the expat essentials index, covering visa processes and bureaucracy. Some 87% of expats in Panama reported being happy with their life abroad, compared to a global average of 70%, and a third said they intend to stay permanently.
Mexico took second place overall, ranking first for ease of settling in, thanks to the ease of making friends and the welcoming atmosphere. Thailand came third, with 86% of expats expressing happiness and 42% planning to remain indefinitely. Low living costs and affordable housing were cited as major draws.
Europe's performance: three in the top ten, but none in the top five
Europe’s showing in the 2026 rankings was modest. Only three EU member states made the top ten, and none cracked the top five. Spain placed sixth overall and was the continent’s best performer, topping the quality of life index thanks to its climate, leisure opportunities, affordable public transport, and travel options. This comes as Spain continues to grapple with devastating wildfires that have forced mass evacuations and strained emergency services—a reminder that even top-ranked destinations face serious challenges.
Portugal followed in eighth place, ranking fourth for personal finance and seventh for ease of settling in. Luxembourg rounded out the top ten, coming fourth in the working abroad index and first for salary and job security.
At the other end of the scale, the United Kingdom placed 28th, Turkey 29th, Germany 30th, and Norway last. Despite Norway’s reputation as one of the world’s happiest countries, expats there reported the lowest satisfaction with settling in, and ranked 30th for both quality of life and personal finance. Germany came last for expat essentials, with respondents citing difficulties with digital services, administrative processes, housing, and the language barrier. It also ranked 28th for ease of settling in and 23rd for personal finance.
The survey evaluated 31 countries, each requiring at least 50 completed responses to be included. The full top ten for 2026 is: Panama, Mexico, Thailand, UAE, Brazil, Spain, Singapore, Portugal, Malaysia, and Luxembourg.
For Europeans considering a move within the continent, the results suggest that southern and western destinations offer the best balance of lifestyle, financial stability, and ease of integration—though none can match the top-ranked non-European destinations on overall expat satisfaction.
