In an interview with the newspaper Sydsvenskan, Minister Morgan Johansson said the law would prevent so-called "jihad trips", when citizens and residents leave Sweden to join up with extremist groups elsewhere.
"We want to criminalize participation in training and combat with terrorist organizations listed by the United Nations," Johansson told the newspaper.
Johansson said it is also conceivable to go one step further and prohibit Swedish citizens for participating in wars overseas, but said the investigation into that proposal would take longer.
The measure comes as authorities are increasingly wary about the number of Swedes travelling to fight in Iraq, Syria and elsewhere. So far, the Swedish intelligence service Säpo has identified 90 Swedes who have travelled to the Middle East to fight with jihadist groups.
Swedish legislation is to be reviewed after a binding resolution from the UN Security Council last month compelling states to prevent their nationals joining jihadists in Iraq and Syria.