The magazine published the list online Thursday, with the Republican governor among leaders that included President Barack Obama, Vice President Joe Biden, Pope Francis as well as the presidents of China and Mexico.
Martinez and New Jersey Gov. Chris Christie were the only state governors on the list.
Elected in 2010, Martinez is the nation's first Hispanic female governor.
GOP political strategist Karl Rove wrote the magazine's description of Martinez, praising her for working with the Democratic-controlled Legislature to resolve state budget problems when the economy soured and for winning approval of tax cuts and a plan to assign grades A-to-F to rate public schools.