The population of the Faroe Islands reached 54,149 in January 2023, reflecting steady growth in recent years. In 2022, the population increased by 635 people, supported by high fertility rates, more births than deaths, increased return migration, and reduced emigration. The Faroe Islands have the highest fertility rate in Europe (2.3) and a high life expectancy of 81.3 years for men and 85.4 years for women.

Tórshavn is the largest municipality with about 23,000 inhabitants, followed by Klaksvík (5,000) and Runavík (4,000). Most of the remaining municipalities, including Tvøroyri, are small, with many having fewer than 2,000 residents.

The population is predominantly native Faroese, descended from Norse and Gaelic settlers. Foreign citizens number 2,910 and come from more than 100 countries, with Danes being the largest non-native group, followed by residents from the Philippines, Poland, Thailand, and Iceland.

Despite long-standing challenges with youth emigration, particularly among women pursuing education abroad, high fertility and improved economic conditions have ensured continued population growth. Since 2013, economic prosperity and increased investment in education have strengthened opportunities at home and contributed to sustained demographic growth.