In this review-type article, the authors present project management in public sector institutions, with a particular focus on the application of Agile methodology. This review seeks to address the potential benefits of Agile methodology in addressing public sector challenges and the key obstacles to its successful implementation. Termed ‘Agile Government’, the approach aims to align public institutions with citizens’ needs, enhance efficiency, productivity, innovation and digital capabilities, improve decision-making processes, and foster collaboration between teams. Moreover, it serves as a response to global crises, such as the Covid-19 pandemic, refugee issues, climate change, and more, all while optimising the use of resources. Methods applied in the article are the following: systematic analysis, comparison, and synthesis.