German Chancellor Angela Merkel was named Person of the Year by Time magazine for her outstanding role in solving many regional and world issues, including the migration crisis in Europe.

Time executive editor Nancy Gibbs revealed the selection of the German leader for the prestigious annual honor on a morning television show on December 9.

Time magazine's Person of the Year. Photo: Time

The magazine praised the 61-year-old prime minister for "demanding more from her country than most politicians dare, for standing firm in the face of tyranny and manipulation, and for providing unwavering moral leadership."

Ms Merkel began 2015 by standing alongside Russian President Vladimir Putin to cool the Ukraine crisis, and then resolved the Greek financial crisis that threatened the entire eurozone.

In the second half of the year, she took a leading role in tackling the migration crisis by opening Germany's borders to hundreds of thousands of refugees, while other countries refused to do so. Her actions were widely hailed as "the conscience of Europe" but also brought her under pressure and criticism from both the German people and her conservative allies.

"You can agree with her or not, but she has not taken the easy road. Leaders are only tested when people do not want to listen to them," Ms Gibbs said.

The Person of the Year title is awarded annually by Time editors to an individual or group of people who have had a major impact on the world and the media, either positively or negatively.

Merkel, who became German chancellor in 2005 and is leading the world's fourth-largest economy, beat out several other heavyweights to win the title, including Abu Bakr al-Baghdadi, leader of the Islamic State (IS) terrorist group, and US presidential candidate Donald Trump.

She is the first individual woman to be named Person of the Year since Time changed its "Man of the Year" title in 1999. She is also the fourth woman to appear alone on the cover of an American magazine.

According to VNE