If you’re considering a new start and you’re looking for a country where you can live comfortably, moving to Andorra, either alone or with your family, is a great option.
The principality is a peaceful and cosmopolitan country nestled between Spain and France with a population who speak Catalan, Spanish and French fluently thanks to the proximity to these countries. Residents are surrounded by outstanding natural beauty and enjoy a high quality of life thanks to one of the world’s best healthcare systems and safe streets. Furthermore, if you move to Andorra with your children, you will have the opportunity to choose from more than one public education system.
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Benefits of living in Andorra
These are just some of the advantages that people who have chosen to settle in the principality most appreciate. But there are also many more, which we will discuss below.
Strategic location between Spain and France
Andorra covers an area of 468 km² and is located in the Pyrenees, between Spain and France. Administratively, it is divided into seven parishes: Canillo, Encamp, Ordino, La Massana, Andorra la Vella, Sant Julià de Lòria and Escaldes-Engordany.
Nearby are fantastic cities to visit for a weekend getaway or a holiday, such as Barcelona and Toulouse. They are well connected by road and are approximately three hours away by car. Connections are currently complemented by Andorra–La Seu Airport, located 10 km away, with two regular routes operating weekly flights to Madrid and Palma de Mallorca.
An international population
As of today, the country has a population of 88,649 inhabitants (September 2025). The most populated areas are the central parishes, the capital Andorra la Vella and Escaldes-Engordany. The least populated are Canillo and Ordino, which are further from the center but also quieter and closer to ski resorts and nature.
The country also has a good public transport network. Since 2024, following an initiative by the Government of Andorra, regular public buses have been free for residents.
An ideal destination for families with children and a strong education system
As mentioned earlier, if you are relocating with your family, Andorra is an ideal place for children of school age. The country has public and private nursery schools for younger children and offers three different education systems: Andorran, French and Spanish, from which you can choose when enrolling your children.
These schools are public and free of charge, with educational centers distributed throughout the country. School attendance is compulsory until the age of 16, as in most countries. You can also choose between two private schools that offer the International Baccalaureate in English. Finally, Andorra also has a university that offers several degree programs.
A peaceful and safe country with an excellent quality of life
If there is one characteristic for which Andorra stands out, it is its safety, thanks to its low crime and delinquency rates compared to other cities. This is a highly valued factor if you are looking to live, work or relocate your family to a safe country.
This perception is reflected in Numbeo‘s 2026 Crime and Safety Index. According to these figures, the Principality of Andorra has the lowest crime levels in Europe and ranks as the second safest country worldwide in terms of perceived safety and reported crime.
Regarding road safety, roads are in good condition and well signposted. However, it is mandatory to carry appropriate vehicle equipment during the winter months due to weather conditions.
All of this directly influences the quality of life in Andorra. In addition to safety, the country offers a natural environment and services that contribute to the well-being of its residents.
A natural paradise in a privileged setting
Living in Andorra means being surrounded by nature and having the mountains on your doorstep. One of the country’s unique features is that 90% of its territory is covered by mountains, nature, meadows, forests, rivers and lakes.
It has three natural parks, one of which has been declared a UNESCO World Heritage Site. In addition, the parish of Ordino has been recognized as a Biosphere Reserve, a distinction that reinforces the Principality’s commitment to environmental conservation, sustainability and quality of life.
In winter, snow sports and snow-related activities take center stage. In summer, cycling, hiking and all mountain-related activities become the main attractions.
Efficient healthcare and quality medical services
Life expectancy is high, reaching 84.1 years in 2024 (according to data from the Statistics Department). Women have a life expectancy of 86.7 years and men 81.7 years. These figures place Andorra among the European territories with the highest longevity indicators.
The Andorran healthcare system is also highly regarded for its efficiency and quality of medical care. It operates through a mixed model, with public coverage managed by the Andorran Social Security Fund (CASS) and the possibility of complementing healthcare through private insurance.
One of its distinctive features is the co-payment system. CASS covers a significant portion of medical expenses, while the resident assumes the remaining percentage. Discover how CASS works in our article.
There are medical centers throughout the country, with the Hospital Nostra Senyora de Meritxell serving as the main hospital.
Types of residence in Andorra
There are several types of residence permits. Each is designed for a different profile depending on the activity, duration of stay and reason for relocation. They can mainly be grouped into three categories:
Active residence
Active residence in Andorra is intended for people who wish to live and work in the country. It can be requested as an employee when there is an employment contract with an Andorran company, or as self-employed residence for entrepreneurs, professionals or investors who carry out an economic activity in the Principality.
Passive residence permit
Passive residence in Andorra, also known as passive residence without gainful activity, is aimed at people who wish to live in the country without carrying out local employment. Within this category there are different profiles, such as tax residents, internationally recognized professionals or people involved in scientific, cultural or sporting activities.
Temporary residence
Finally, temporary residence is granted in specific cases, particularly to individuals transferred by companies to perform seasonal work or specific projects in Andorra. It is generally linked to a limited duration and a specific activity within the country.
To better understand the differences between each residence type and determine which one best suits your profile, we recommend reading our updated 2026 article: “Passive Residence or Self-Employed Residence in Andorra: Which Option Is Best for You?”
Economic advantages of living in Andorra
The sectors driving the Andorran economy
The most important sectors of the Andorran economy are tourism, commerce and financial services. If you are considering setting up a company in Andorra, these are some of the sectors that perform best.
Regarding tourism, Andorra welcomed approximately 9.9 million visitors in 2025 (according to data published by the Andorran Statistics Department).
The country has worked to modernize and diversify its economy and has also become increasingly active in digital industries. Progress has been made through the approval of the Digital Economy, Entrepreneurship and Innovation Law of 2022.
This law creates a solid and reliable regulatory framework designed to provide essential tools and actively encourage business opportunities in the digital sector. It also includes Startup regulations.
In terms of connectivity and internet access, the entire country is connected to fiber-optic infrastructure.
Foreign investment and new business opportunities
Andorra has promoted foreign investment and simplified company formation for non-residents, allowing foreigners to own 100% of a company established in the Principality.
This openness has strengthened the country’s international profile as a destination for entrepreneurs and investors. To begin the process, it is necessary to submit an application for foreign investment authorization and provide the required documentation before incorporating the company.
Sustainable and competitive economic growth
Economic forecasts indicate that Andorra will maintain positive growth in the coming years. GDP is expected to increase between 3.7% and 4.8% annually until 2030. In real terms, growth is expected to range between 1.5% and 2.8%, with stronger momentum in 2025 and a slight moderation from 2027 onwards (according to data from the Andorran Statistics Department).
In addition, unemployment remains very low compared to neighboring countries.
Andorra has been a member of the International Monetary Fund since 2020, a step that has helped consolidate its integration into the international economic environment.
What taxation is like in Andorra
Whether you decide to move to Andorra as a tax resident or establish a company, taxes in Andorra are significantly more advantageous than in most European Union countries.
- You will not pay more than 10% personal income tax.
- Corporate tax is capped at 10%.
- And Andorra’s VAT equivalent (known as IGI) is 4.5%.
For this reason, Andorra is often described as having a low tax burden. In this article, we explain in greater detail the taxes payable in Andorra.
ANDORRA INVITES YOU TO:
This is what you will find if you choose Andorra as your new home:
- Quality of life with a highly regarded healthcare system.
- Excellent geographical location between France and Spain.
- A stunning natural environment and a wide range of outdoor activities.
- High-quality education, with different public and private education systems available.
Residence in Andorra will let you enjoy all these benefits and many more. Our team of experts will assist you throughout the process of establishing your residence, providing you with all the necessary information and advising you every step of the way. Don’t wait any longer to enjoy the advantages of living in Andorra. Contact us now!