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Egypt also hosts two major religious institutions. Al-Azhar University, the oldest Islamic institution for higher studies (founded around 970 CE) with its corresponding mosque Al-Azhar. The head of Al-Azhar is traditionally regarded as the supreme leader of Sunni Muslims all over the world. Egypt also has a strong Christian heritage as evidenced by the existence of the Coptic Orthodox Church headed by the Patriarch of Alexandria, which claims a following of 50 million Christians worldwide (one of the famous Coptic Orthodox Churches is Saint Takla Haimanot Church in Alexandria

Before the construction of dams on the Nile, particularly the Aswan High Dam (started in 1952, completed in 1970), the fertility of the Nile Valley was sustained by the water flow and the silt deposited by the annual flood. Sediment is now obstructed by the Aswan High Dam and retained in Lake Nasser. The interruption of yearly, natural fertilization and the increasing salinity of the soil has been a manageable problem resulting from the dam. The benefits remain impressive: more intensive farming on thousands of square kilometres of land made possible by improved irrigation, prevention of flood damage, and the generation of millions of gigajoules of electricity at low cost.

Under comprehensive economic reforms initiated in 1991, Egypt has relaxed many price controls, reduced subsidies, and partially liberalized trade and investment. Manufacturing is still dominated by the public sector, which controls virtually all heavy industry. A process of public sector reform and privatization has begun, however, which could enhance opportunities for the private sector. Agriculture, mainly in private hands, has been largely deregulated, with the exception of cotton and sugar production. Construction, non-financial services, and domestic marketing are largely private. This has promoted a steady increase of GNP and the annual growth rate. Among Arab countries, Egypt's GDP is second only to Saudi Arabia's. However, the Egyptian economy relies heavily on tourist revenues. The tourism sector suffered tremendously following a terrorist attack on tourists in Luxor in October 1997, and the September 11, 2001 terrorist attacks against the United States, affecting the economy as a whole.

Ancient Egyptian literature dates back to the Old Kingdom, in the third millennium BC. Religious literature is best known for its hymns to various gods and its mortuary texts. The oldest extant Egyptian literature are the Pyramid Texts: the mythology and rituals carved around the tombs of rulers. The later, secular literature of ancient Egypt includes the 'wisdom texts', forms of philosophical instruction. The Instruction of Ptahhotep, for example, is a collation of moral proverbs by an Egyptian administrator. The authors of the literature of the Old and Middle Kingdoms (through to the middle of the second millennium BC) seem to have been drawn from an elite administrative class, and were celebrated and revered into the New Kingdom (to the end of the second millennium). In time the Pyramid Texts became Coffin Texts (perhaps after the end of the Old Kingdom), and finally the mortuary literature produced its masterpiece, the Book of the Dead, during the New Kingdom.

The first Christians in Egypt were mainly Alexandrian Jews such as Theophilus, whom Saint Luke the Evangelist addresses in the introductory chapter of his gospel. When the church was founded by Mark during the reign of the Roman emperor Nero, a great multitude of native Egyptians (as opposed to Greeks or Jews) embraced the Christian faith. Christianity spread throughout Egypt within half a century of Mark's arrival in Alexandria as is clear from the New Testament writings found in Bahnasa, in Middle Egypt, which date around the year 200 AD, and a fragment of the Gospel of Saint John, written in Coptic, which was found in Upper Egypt and can be dated to the first half of the second century. In the second century Christianity began to spread to the rural areas, and scriptures were translated into the local language, namely Coptic