Monaco and Japan Lead the World's Aging Demographics
While Japan is widely known for its aging population, recent data shows that the city-state of Monaco actually has the highest percentage of old people. This unique demographic profile in Monaco, where approximately 36.8% of the population was aged 65 and older in 2025, is influenced by its status as a wealthy enclave that attracts many retirees. However, Japan's situation is arguably more significant on a global scale due to its large population size. As of 2024, Japan's population of individuals aged 65 or older surpassed 36 million, representing 29.3% of its total population. This places immense pressure on its social security, healthcare, and workforce.
The Impact of Long Life and Low Birth Rates
Demographic aging is a result of two primary trends: increased life expectancy and decreased birth rates. Modern healthcare, nutrition, and living standards have allowed people in many countries to live longer, healthier lives. At the same time, cultural shifts and economic factors have led to lower fertility rates. Japan, for example, has one of the world's lowest fertility rates, compounding the effects of a long-living populace. European countries such as Italy, Finland, and Portugal are also experiencing this pattern, contributing to their high ranking among the oldest populations.
Challenges Facing Aging Societies
An aging population presents several challenges that countries must address, especially concerning the economy and social welfare.
- Economic Strain: With a smaller working-age population supporting a larger elderly population, there is less tax revenue to fund social programs like pensions and healthcare. This increases the dependency ratio and places a heavier burden on younger workers.
- Labor Shortages: Key industries, particularly in countries like Japan, face severe labor shortages as the workforce shrinks. Some nations are exploring automation and immigration to fill these gaps.
- Increased Healthcare Costs: Older populations require more specialized and long-term healthcare, driving up public spending. Governments must allocate significant resources to address the rising prevalence of chronic diseases and age-related conditions.
- Social and Cultural Shifts: Societies must adapt to new family structures, as smaller families mean fewer caregivers for the elderly. Issues like social isolation and loneliness are also becoming more prevalent.
Major Aging Countries: A Comparison
To understand the scope of global aging, it is useful to compare countries based on recent data from sources like Visual Capitalist and Statista.
| Country | Percentage of Population 65+ (circa 2025) | Total Population (approx.) | Economic Concerns | Societal Factors |
|---|---|---|---|---|
| Monaco | ~36.8% | ~38,000 | Impact is less severe due to wealth and tax structure; often attracts wealthy retirees. | High concentration of affluent retirees; challenges related to local service provision for a small population. |
| Japan | ~30.0% | ~123 million | Labor shortages, strain on social security and pensions, and potential economic slowdown. | Cultural shifts, increasing numbers of 'solitary deaths' (kodoku-shi), and adaptations to family care roles. |
| Italy | ~25.1% | ~59 million | Decreasing working-age population and fiscal pressures on the pension and healthcare systems. | One of Europe's lowest birth rates, compounding the effects of high life expectancy. |
| Martinique | ~26.5% | <400,000 | Growing need for senior-focused healthcare and services, potentially shifting priorities away from other areas. | High senior share linked to people relocating for retirement and low birth rates. |
The Global Trend of Population Aging
Population aging is a global trend that is affecting nearly every country, not just the ones with the highest percentages. Many less-developed countries are experiencing a more rapid aging process than developed nations did historically. The number of people aged 65 or older worldwide is projected to more than double between 2021 and 2050, from 761 million to 1.6 billion. This demographic shift is forcing societies around the world to adapt their policies regarding healthcare, social security, and economic growth. The experience of nations like Japan and Italy, which have been at the forefront of this demographic change for decades, offers valuable insights and lessons for others. As the world progresses, societies will need to implement strategic changes to accommodate and thrive in a new, older demographic era.
Conclusion
While the answer to "What country has the highest percentage of old people?" is technically Monaco, the more telling story is the global trend toward aging populations, highlighted by large industrialized nations like Japan and Italy. Driven by lower birth rates and higher life expectancies, this demographic shift presents complex, interconnected challenges related to economic sustainability, labor supply, and social welfare. Effective planning and policy adjustments are necessary to ensure that these older societies can continue to flourish, focusing on areas from healthcare innovation to addressing social isolation. The future will require countries to move beyond siloed thinking and adopt comprehensive, multi-sectoral approaches to address the realities of an increasingly senior world.
