"On behalf of Michelle, myself and all Americans, I want to congratulate Malala Yousafzai and Kailash Satyarthi on winning the Nobel Peace Prize .Today's announcement is a victory for all who strive to uphold the dignity of every human being," Obama said in a statement.
"In recognising Malala and Kailash, the Nobel Committee reminds us of the urgency of their work to protect the rights and freedoms of all our young people and to ensure they have the chance to fulfill their God-given potential, regardless of their background, or gender, or station in life," said Obama, who received the Nobel Peace Prize in 2009.
At just 17, Malala Yousafzai has inspired people around the world with her passion and determination to make sure girls everywhere can get an education, Obama said, adding when the Taliban tried to silence her, Malala answered their brutality with strength and resolve.
Obama said Malala and Kailash have faced down threats and intimidation
"Michelle and I were proud to welcome this remarkable young woman to the Oval Office last year. We were awe-struck by her courage and filled with hope knowing this is only the beginning of her extraordinary efforts to make the world a better place," he said.
Kailash Satyarthi has dedicated his life to ending child labour and wiping the stain of slavery from the world, he said. "The true measure of Kailash's efforts is not a single prize he has been awarded, but the tens of thousands of people who today live with freedom and dignity thanks to his efforts," he said.
"Through his advocacy, Kailash reminds us of our shared responsibility to end the exploitation of others, especially the most vulnerable among us," said the US President.
Obama said Malala and Kailash have faced down threats and intimidation, risking their own lives to save others and build a better world for future generations.
"They come from different countries, religious backgrounds, and generations a Muslim and a Hindu, a Pakistani and an Indian but they share an unyielding commitment to justice and an unshakable belief in the basic dignity of every girl and boy," he said.