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Egyptian music began its recorded history in the 1910s, at the same time as composers like Sayed Darwish's first mixtures of traditional Egyptian and western musical forms. Since, some of the Arab world's biggest musical stars have been Egyptian, including Mohamed Abdel Wahab, Umm Kulthum, Amr Diab, Mohamed Al-Qasabji and Zakariyya Ahmad. Kulthum was especially popular, and is considered the most successful Egyptian recording artist in history. Most of these stars, including Kalthum, sang Arab classical music. Some, like Abd el-Halim Hafez, were associated with the nationalist revolution in 1952

Under Islam, Egypt continued to be a great source of literary endeavour, now in the Arabic language. In 970, al-Azhar University was founded in Cairo, which to this day remains the most important centre of Sunni Islamic learning. In the 12th century Egypt, the Jewish talmudic scholar Maimonides produced his most important work.

Despite the political upheaval, Egypt remained a predominently Christian land, although gradual conversions to Islam over the centuries had the effect of changing Egypt from a predominantly Christian to a predominantly Muslim country by the end of the 12th century.

The Muslim Brotherhood's reemergence as a political force coincided with the proliferation of Islamic groups. Some of these groups espoused the violent overthrow of the government while others espoused living a devout life of rigorous observance of religious practices. It is impossible to list all the Islamic groups that emerged in the late 1970s because many of them had diffuse structures and some of the more militant groups were underground. Egypt's defeat and loss of territory in the June 1967 Six-Day War was the main cause for the growth of religiously inspired political activism. Muslims tended to view the humiliating experience as the culmination of 150 years of foreign intrusion and an affront to their vision of a true Islamic community. Islamic tradition rejected the idea of non-Muslims dominating Muslim society. Such a state of affairs discredited Muslim rulers who permitted it to persist. It was, therefore, incumbent on believers to end the domination and restore the true supremacy of Islam. As part of their Sunni creed, the most radical activists adopted jihad and committed themselves to battling unbelievers and impious Muslims. During the 1970s and 1980s, Islamists perpetrated a number of violent acts, including the assassination of Anwar Sadat in October 1981.

After Mohamed Naguib resigned in 1954, Gamal Abdel Nasser, the real architect of the 1952 Revolution, assumed power as President and nationalized the Suez Canal leading to the 1956 Suez Crisis. Between 1958 and 1961 Egypt and Syria formed a union known as the United Arab Republic.

A series of International Monetary Fund arrangements, coupled with massive external debt relief resulting from Egypt's participation in the Gulf War coalition, helped Egypt improve its macroeconomic performance during the 1990s. Through sound fiscal and monetary policies, Cairo tamed inflation, slashed budget deficits, and built up foreign reserves. Although the pace of structural reforms, such as privatization and new business legislation, has been slower than the IMF envisioned, Egypt's steps toward a more market-oriented economy have prompted increased foreign investment. Lower combined hard currency inflows - from tourism, worker remittances, oil revenues, and Suez Canal tolls - in 1998 and the first half of 1999 resulted in pressure on the Egyptian pound and sporadic dollar shortages, but external payments were not in crisis. Despite ample reserves, the Central Bank did not provide sufficient hard currency to commercial banks and Cairo restricted imports for a short period; these developments confirmed to some investors and currency traders that government financial operations lack sufficient coordination and openness. Monetary pressures have since eased, however, with the continued oil price recovery starting in mid-1999 and a moderate rebound in tourism. Increased gas exports are a major plus factor in future growth.

The Egyptian judicial system is based on European, primarily French, legal concepts and methods. Under the several governments during the presidency of Mubarak, the courts have demonstrated increasing independence, and the principles of due process and judicial review have gained greater respect. The legal code is derived largely from the Napoleonic Code. Marriage and personal status are primarily based on the religious law of the individual concerned. Thus, there are three forms of Family Law in Egypt, Islamic, Christian, and secular (based on the French Family Laws).

Partially independent from the UK in 1922, Egypt acquired full sovereignty following World War II. In 1952 a popularly-supported military coup d’état forced King Farouk I, a constitutional monarch, to abdicate in support of his son King Ahmed Fouad II. Finally the Egyptian Republic was declared on 18 June 1953 with Gen. Mohamed Naguib as the first President of the Republic.

Geography, population, history, military strength, and diplomatic expertise give Egypt extensive political influence in the Middle East. Cairo has been a crossroads of Arab commerce and culture for millennia, and its intellectual and Islamic institutions are at the center of the region's social and cultural development.

Egypt played an important role in the negotiations leading to the Madrid Peace Conference in 1991, which, under United States and Russian sponsorship, brought together all parties in the region to discuss Middle East peace. This support has continued to the present, with President Hosni Mubarak often intervening personally to promote peace negotiations. In 1996, he hosted the Sharm El-Sheikh "Summit of the Peacemakers" attended by President Bill Clinton and other world leaders. In 2000, he hosted two summits at Sharm El-Sheikh and one at Taba in an effort to resume the Camp David negotiations suspended in July of 2000, and in June 2003, Mubarak hosted President George W. Bush for another summit on Middle East peace process.

According to a 1995 law, the application of family law, including marriage, divorce, alimony, child custody, inheritance, and burial, is based on an individual's religion. In the practice of family law, the State recognizes only the three "heavenly religions:" Islam, Christianity, and Judaism. Muslim families are subject to the Personal Status Law, which draws on Shari'a (Islamic law). Christian families are subject to canon law, and Jewish families are subject to Jewish law. In cases of family law disputes involving a marriage between a Christian woman and a Muslim man, the courts apply the Personal Status Law.

Export of petroleum and related products amounted to $2.6 billion in the year 2000. In late 2001, Egypt's benchmark "Suez Blend" was about $16.73 per barrel ($105/m³), the lowest price since 1999.