Public sector accounting in Indonesia plays a crucial role in managing national and local finances, aiming to ensure transparency and accountability. This qualitative study explores the current development and conditions of public sector accounting in Indonesia. The research uses a literature study approach, analyzing existing literature through the typeset.io tool. The findings indicate that public sector accounting in Indonesia is dynamic and continues to be applied to measure organizational performance. Public sector accounting is defined as a service activity involving recording, categorizing, and reporting economic events to provide financial information for decision-making and public fund management. In Indonesia, the implementation of public sector accounting has evolved alongside government policies and public demands for better financial management. Technological advancements have influenced the development of public sector accounting, making processes more efficient and accurate. However, challenges remain, including a shortage of skilled human resources, inadequate IT infrastructure, and resistance to change in government levels. The adoption of accrual-based accounting in Indonesia began in 2015, with the introduction of the Government Accounting Standards (SAP) in 2010, which aimed to improve financial management and governance. Despite these efforts, issues such as corruption and poor asset management persist, highlighting the need for continuous improvement. Public sector accounting is essential for organizational performance, particularly in healthcare sectors. The study also notes that public sector accounting in Indonesia has faced criticism for adopting Western accounting practices that may conflict with national cultural values. Overall, public sector accounting in Indonesia is dynamic, with ongoing debates and challenges that require collaboration among stakeholders to achieve optimal results.Public sector accounting in Indonesia plays a crucial role in managing national and local finances, aiming to ensure transparency and accountability. This qualitative study explores the current development and conditions of public sector accounting in Indonesia. The research uses a literature study approach, analyzing existing literature through the typeset.io tool. The findings indicate that public sector accounting in Indonesia is dynamic and continues to be applied to measure organizational performance. Public sector accounting is defined as a service activity involving recording, categorizing, and reporting economic events to provide financial information for decision-making and public fund management. In Indonesia, the implementation of public sector accounting has evolved alongside government policies and public demands for better financial management. Technological advancements have influenced the development of public sector accounting, making processes more efficient and accurate. However, challenges remain, including a shortage of skilled human resources, inadequate IT infrastructure, and resistance to change in government levels. The adoption of accrual-based accounting in Indonesia began in 2015, with the introduction of the Government Accounting Standards (SAP) in 2010, which aimed to improve financial management and governance. Despite these efforts, issues such as corruption and poor asset management persist, highlighting the need for continuous improvement. Public sector accounting is essential for organizational performance, particularly in healthcare sectors. The study also notes that public sector accounting in Indonesia has faced criticism for adopting Western accounting practices that may conflict with national cultural values. Overall, public sector accounting in Indonesia is dynamic, with ongoing debates and challenges that require collaboration among stakeholders to achieve optimal results.