Ever since Swedish pinup Måns Zelmerlöw scored victory in the competition
on May 24th, there has been intense speculation about which venue in Sweden will host the next contest, which is always put on in the country that won 12 months previously.
Despite online campaigns for Gothenburg to have a bash at organizing the event as well as Umeå in northern Sweden, which was a European Capital of Culture in 2014, the Swedish capital won the crown and has opted to use the Globe Arena (Globen) in the south of the city.
"I look forward to welcoming all of Europe to Stockholm and one of the world's largest TV events," said Hanna Stjärne, president of Swedish television network SVT, which will broadcast the show.
"The Eurovision Song Contest is both a music event and a festival and in Stockholm, we will offer both," she added.
Sweden's 2015 winner Måns Zelmerlöw performing in Stockholm in June 2015. Photo: Marcus Ericsson/TT
"Stockholm has come forward with a seamless offering that will ensure that the event is once again taken to the next level," said Martin Österdahl, who will be executive producer of the show next year.
SVT revealed that Sweden's Tele2 Arena, another huge venue next to Globen, would also be incorporated into the event.
Meanwhile the city's mayor Karin Wanngård told the broadcaster: "Our city is boiling with activity that revolves around music. Creativity is in our hearts".
She said she hoped that hosting the contest would help stimulate an even stronger arts scene in the Swedish capital and said that she was excited both locals and tourists travelling to Stockholm would get to experience "the Swedish music miracle".
Måns Zelmerlöw's victory with his track Heroes, was the Nordic country's sixth Eurovision title, with only Ireland scoring more wins (seven) in the history of the competition.
Sweden's most famous group of all time, Abba, gave the country its first taste of success in the contest back in 1974.