"I can't see any reason to not extradite him," prosecutor Mikael Ruotsi told the local Östersunds-Posten newspaper.
The 44-year-old man, who is both a Bosnian and Croation citizen, is believed to have been involved in the March 1992 massacre of the Bosnian village Sijekovac, according to the local prosecutors office.
Although police did not reveal the suspect's name, Swedish news reports said the man in question is Zemir Kovacevic.
He was detained in the western region of Jämtland last December and has remained in custody since his arrest.
The man, for whom an international arrest warrant had been issued via Interpol, is "wanted for war crimes," Bertil Olofsson, who heads the international section of the Swedish criminal police, told AFP at the time of Kovacevic's arrest.
Kovacevic has been on an international wanted list since 2009.
Before being handed over to Bosnian authorities, however, Kovacevic faces a complicated legal process in Sweden, including reviews of his case by the government and the Supreme Court.
According to prosecutor Ruotsi, the only way Sweden would refuse the request were if the government doubted that Kovacevic would receive a fair trial.
But Ruotsi didn't believe that would be a problem.