Turkey condemns Sweden's 'vile' Quran-burning rally.
It stated the Swedish government's decision to allow the protest to go forward was "absolutely unacceptable".
It comes as diplomatic tensions between the two countries rise.
Turkey, which had urged to Sweden to cease the demonstration, had cancelled a visit by Sweden's Defence Minister, Pal Jonson, saying the trip had "lost its importance and meaning".
The tour was intended to alleviate Ankara's reservations about the Scandinavian country joining the Nato military alliance. So far, Turkey has stymied Sweden and Finland's Nato applications.
Turkey seeks political concessions, including the deportation of critics of its President, Recep Tayyip Erdogan, as well as Kurds whom it considers terrorists.
Turkey is already a member of Nato, which implies it can prevent another country from entering. Following Russia's invasion of Ukraine, Sweden and Finland have applied to join NATO.
Rasmus Paludan, a lawmaker from the far-right Stram Kurs (Hard Line) party, burned a copy of the Quran during a protest outside the Turkish embassy in Stockholm on Saturday afternoon.
Muslims regard the Quran as God's sacred word and consider any intentional damage or disrespect to it to be profoundly insulting.
Turkey is a Muslim-majority country. Its Ministry of Foreign Affairs issued a statement decrying the act, which it said happened despite "multiple warnings".
"It is utterly unacceptable to allow this anti-Islam act, which targets Muslims and undermines our fundamental principles, under the cover of 'free expression,'" it stated.
It stated that the burning of the Quran was another proof of the "alarming" extent to which Islamophobia, racism and prejudice had reached Europe, and it urged on the Swedish government to take "required actions".
The incident was described as "appalling" by Sweden's Foreign Minister, Tobias Billstrom.
"Sweden enjoys broad freedom of expression, but this does not imply that the Swedish government or myself support the beliefs voiced," he tweeted.
Protests in Stockholm were conducted both in support of and against Turkey.
Mr Jonson tweeted after Turkey cancelled the Swedish defence minister's trip, "Our relations with Turkey are very important to Sweden, and we look forward to resuming the dialogue on mutual security and defence concerns at a later date."
Last week, protesters in Stockholm hung an effigy of President Erdogan from a lamppost in what Sweden's Prime Minister described as an attempt to sabotage Sweden's Nato application.
Last year, Mr Paludan staged demonstrations in which he threatened to burn the Quran, causing violence.
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