By Editor – June 5, 2025

Toronto has officially edged out Montreal as Canada’s leading global city, according to the latest Global Cities Index 2025 published by Oxford Economics. The index, which ranks 1,000 of the world’s largest urban areas, placed Toronto at No. 20, while Montreal landed at No. 43, barely securing a spot in the top 50.

The rankings are based on five core pillars: Economy, Human Capital, Quality of Life, Environment, and Governance.

Why Toronto Leads Canada

Toronto’s rise can be attributed to its growing dominance in the Economics and Human Capital categories. As the national hub for finance, culture, education, and innovation, the city is home to Canada’s largest banks, tech firms, and globally recognized institutions like the University of Toronto.

High levels of international immigration and a steady inflow of global talent have contributed to GDP and employment growth, propelling Toronto into the top 20 cities worldwide. Its governance and urban infrastructure also scored well, helping balance out environmental concerns.

That said, rapid growth has strained Toronto’s housing market, negatively impacting its Quality of Life score. While the city is grappling with affordability and environmental pressures, it continues to rank as one of the world’s most globally connected and economically dynamic cities.

What’s Holding Montreal Back?

Montreal, once the economic heartbeat of Canada, remains a cultural and academic powerhouse with top universitieslike McGill and a burgeoning AI and gaming sector. The city’s Human Capital score remains strong, supported by its diverse population and robust public services.

However, Montreal lags in Environment, plagued by high transport emissions and increasing weather volatility, including torrential downpours and post-tropical storm threats. While it boasts lower housing costs and high life expectancy, the city’s low income levels and relatively weak economic growth compared to Toronto have slowed its ascent in the rankings.

Top 10 Cities in the World (2025)

1. New York City

2. London

3. Paris

4. San Jose

5. Seattle

6. Melbourne

7. Sydney

8. Boston

9. Tokyo

10. San Francisco

New York City retained its title as the world’s No. 1 city, thanks to its unmatched economic output, elite academic institutions, and cultural influence. With a metro economy nearly double that of Los Angeles, NYC continues to set the global benchmark for urban excellence.

Other Canadian Cities in the Top 50

• Toronto (20)

• Vancouver (37)

• Montreal (43)

While all three Canadian cities ranked in the top 50, Toronto’s global pull as a center of finance and tech innovation gives it the clear edge. Oxford Economics expects it to remain a top performer in the coming years, provided the city can address its affordability and environmental challenges.

About the Index
The Oxford Economics Global Cities Index evaluates cities based on publicly available datasets, economic forecasting, and performance indicators across five pillars. The 2025 edition includes cities from over 100 countries, creating one of the most comprehensive urban rankings globally.