Until now, 50 to 300 people were allowed to gather in Sweden, depending on the type of event.
The Swedish Prime Minister, Stefan Leuven, said that this was an unprecedented measure needed to limit the spread of the virus.
Sweden reported 5,990 new cases of Covid-19 on Friday, the highest number of cases recorded in a day since the pandemic began.
In Sweden, with a population of 10.3 million, 177,355 people have been infected with the new coronavir to date, of whom 6,164 have died.