The traditional list overseen by the UK government
recognizes the achievements and service of "extraordinary" people and 2016 certainly has been an extraordinary year for Murray.
The 29-year-old ended the season as world No.1
for the first time, toppling Novak Djokovic -- who had held the top spot since July 2014.
Murray had a golden summer, winning his second Wimbledon title
in July and then claiming his second Olympic gold
at the Rio Games in August.
Last, but not least, Murray and his wife Kim also became parents with the birth of daughter
Sophia in February, just days after he played in the Australian Open final.
CNN's Open Court presenter Pat Cash says there is more to come from "Sir Andy Murray" in 2017: "One of my predictions is that he will be No. 1 for quite a while next year. He'll be pushed but for the majority of the year he will be No. 1.
"I also think he'll win the French Open. He's desperate to win that one and I think he'll grab it."
It was not quite the start to 2017 that Murray wanted when he lost his first match 7-6(4) 6-4 to Belgian David Goffin at an exhibition tournament in Abu Dhabi, Friday.
Another multiple Olympic gold medalist, Mo Farah, also received a knighthood after defending his 5,000-meter and 10,000m track titles in Rio.
The distance runner, who came to the UK from Somalia at the age of eight, was forced to deny doping allegations
in 2015 after it emerged he missed two drugs tests in the buildup to London 2012.
Jessica Ennis, who added heptathlon silver to London gold in Rio before retiring, was made a dame (the highest accolade for women) along with Olympic rowing gold medalist Katherine Grainger.
Equestrian Lee Pearson was also knighted for his achievement of winning 11 gold medals at five Paralympic Games.