Palermo has been named as Italian culture capital for 2018, fending off competition from eight other Italian cities, culture minister Dario Franceschini announced on Tuesday.
The jury's citation said: "the candidacy is backed by an original project, of high cultural value, great humanitarian scope, strongly and generously aimed at inclusion, permanent training, capacity-building and citizenship, while seeking to enhance its heritage and to support contemporary artists."
Infrastructure projects and cooperation between the public and private sector feature in the plans outlined in Palermo's bid, the jury citation added.
The other finalists for the award were Alghero, Aquileia, Comacchio, Ercolano, Montebelluna, Recanati, Settimo Torinese, Trento as well as a consortium of six Sicilian towns.
"I am overjoyed," Sicilian governor Rosario Crocetta told Adnkronos.
"I am happy that a city such as Palermo has rightly been chosen as culture capital," he said, adding he hoped the award would boost tourism to the island.
"We've all won," said Palermo's mayor Leoluca Orlando.
"The most significant cultural asset we uphold is the culture of welcome. We support the right of all human beings to be and remain different, but to be and remain equal," Orlando said.
Palermo's Teatro Massimo was due on Tuesday evening to be lit up in red, green and white - the colours of the national flag - to celebrate the Sicilian capital's win.
The city will receive a million euros to help it realise the various projects outlined, the culture ministry said.