Swedish authorities ended their probe into social media posts showing photos of the YPG/PKK terrorist group's so-called flag and its imprisoned ringleader Abdullah Öcalan, that were projected on public buildings in the country's capital.
According to state radio, police claimed there is a lack of evidence to proceed with the investigation.
Last week, social media accounts linked to the PKK, and its Syrian offshoot YPG, shared images showing the organization's so-called flag and its leader's picture projected on the historic City Hall and Globen Avicii Arena Sports Hall.
Following reactions by Turkey's Ambassador to Sweden Hakkı Emre Yunt and others to the propaganda activities of the terrorists, Stockholm Municipality had filed a criminal complaint.
Finland and Sweden applied for NATO membership in response to Russia's invasion of Ukraine. But the bids have faced opposition from Turkey, which has been angered by what it says is Helsinki and Stockholm's support for terrorist groups and arms embargoes on Ankara.
Last week, Turkey said documents it received from Sweden and NATO in response to the earlier written demands it presented the two candidates were far from meeting its expectations and any negotiations must first address Turkish concerns.
While the two Nordic countries said talks to resolve the dispute would continue, President Recep Tayyip Erdoğan said recently that Ankara had not received any responses to its demands, including stopping support for terrorist groups, and lifting arms embargoes on Ankara and extraditing terrorism suspects it seeks.
NATO leaders will convene in Madrid on June 29-30. Any NATO membership requires the approval of all 30 members of the alliance. Turkey has been a NATO ally for more than 70 years and has the alliance's second-biggest army.