A new salt-free approach was developed for fabricating conductive paper by layer-by-layer (LBL) assembly of conductive indium tin oxide (ITO) nanoparticles and polyelectrolytes onto wood fibers. Subsequent to the coating procedure, the fibers were manufactured into conductive paper using traditional paper making methods. The wood fibers were first coated with polyethyleneimine (PEI) and then LBL assembled with poly(sodium 4-styrenesulfonate) (PSS) and ITO for several bilayers. The surface charge intensity of both the ITO nanoparticles and the coated wood fibers were evaluated by measuring the ζ-potential of the nanoparticles and short fibers, respectively. The ITO nanoparticles were found to preferentially aggregate on defects on the fiber surfaces and formed interconnected paths, which led to the formation of conductive percolation paths throughout the whole paper. With ten bilayer coatings, the as-made paper was made DC conductive, and its σ_dc was measured to be 5.2 × 10⁻⁶ S cm⁻¹ in the in-plane (IP) direction, while the conductivity was 1.9 × 10⁻⁸ S cm⁻¹ in the through-the-thickness (TT) direction. The percolation phenomena in these LBL-assembled ITO-coated paper fibers was evaluated using scanning electron microscopy (SEM), current atomic force microscopy (I-AFM), and impedance measurements. The AC electrical properties are reported for frequencies ranging from 0.01 Hz to 1 MHz. A clear transition from insulating to conducting behavior is observed in the AC conductivity.