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Popular Islam is based mostly on oral tradition. Imams with virtually no formal education commonly memorize the entire Qur'an and recite appropriate verses on religious occasions. They also tell religious stories at village festivals and commemorations marking an individual's rites of passage. Predestination plays an important role in popular Islam. This concept includes the belief that everything that happens in life is the will of God and the belief that trying to avoid misfortune is useless and invites worse affliction. Monotheism merges with a belief in magic and spirits (jinns) who are believed to inhabit the mountains.

During the first few centuries of the Christian era, Egypt was the ultimate source of a great deal of ascetic literature in the Coptic language. Egyptian monasteries translated many Greek and Syriac works, which are now only extant in Coptic.

Egypt's economy depends mainly on agriculture, media, petroleum exports, and tourism; there are also more than 5 million Egyptians working abroad, mainly in Saudi Arabia, the Gulf area, and Europe.

In Egypt, religious music is frowned upon, but still common in Muslim celebrations called mulids. Mulids are held to celebrate the saint of a particular mosque, and is related to the Sufi zikr ritual. A type of flute called the ney is commonly played at mulids.

Today devout Muslims believe that Islam defines one's relationship to God, to other Muslims, and to non-Muslims. They also believe that there can be no dichotomy between the sacred and the secular. Many devout Muslims say that Egypt's governments have been secularist and even antireligious since the early 1920s. Politically organized Muslims who seek to purge the country of its secular policies are referred to as "Islamists."

Prior to Napoleon's invasion, almost all of Egypt's educational, legal, public health, and social welfare issues were in the hands of religious functionaries. Ottoman rule reinforced the public and political roles of the ulama (religious scholars) because Islam was the state religion and because political divisions in the country were based on religious divisions. During the nineteenth and twentieth centuries, successive governments made extensive efforts to limit the role of the ulama in public life and to bring religious institutions under closer state control. The secular transformation of public life in Egypt depended on the development of a civil bureaucracy that would absorb many of the ulama's responsibilities in the country.