With a time of 23 sec 98, Sjöström, 28, is ahead of the Polish Katarzyna Wasick.
Australian Meg Harris and American Erika Brown, joint third, complete the podium.
This is the second gold medal of the week for Sjöström, already titled in the 50m butterfly final on Friday.
In Budapest, she also won silver in the 100m freestyle.
With now twenty world medals, Sjöström is closer to two units of the American Katie Ledecky, who however has many more gold medals than the Swede (19 against 10).
© 2022 AFP