Ronaldo accepted FIFA's top prize at Monday's ceremony in Zurich, co-hosted by Hollywood actress Eva Longoria.
He received 34.54% of the total vote to beat Barcelona and Argentina striker Lionel Messi (26.42%) and Antoine Griezmann (7.53%) of Atletico Madrid and France.
The 31-year-old had a stellar 2016 -- and he called it "the best of my career."
"I had a lot of doubts but the trophy showed that I lived up to that. After I won what I did, I had no doubts," he said.
"It was a year that was magnificent on a personal level, on a sports level. I would like to thank very warmly everybody who voted for me. To the fans, to the other players, to the media: Thank you."
In May, Ronaldo scored the winning penalty for Real Madrid in the Champions League final to defeat city rival Atletico and secure the third European title of his career.
Then as captain of Portugal's national team he lifted the Euro 2016 trophy after beating host France in the final. It was the first time Ronaldo had won a major honor with his country.
Ronaldo scored 51 goals in club competitions last season as Real Madrid missed out on the La Liga title to Messi's Barcelona by a point. He's already scored 17 this campaign, as Zinedine Zidane's side has opened up a four-point lead in the Spanish title race and matched its arch rival's record of 39 domestic matches unbeaten.
CNN Reports