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The government has struggled to ready the economy for the new millennium through economic reform and massive investment in communications and physical infrastructure, much financed from U.S. aid. Egypt is the second largest recipient of such funds from the United States after Israel. Economic conditions are starting to improve considerably after a period of stagnation due to the adoption of more liberal economic policies by the government, as well as increased revenues from tourism and a booming stock market.

In December 1999, in response to strong criticism of the Ottoman decree, President Mubarak issued a decree making the repair of all places of worship subject to a 1976 civil construction code. The decree is significant symbolically because it places churches and mosques on equal footing before the law. The practical impact of the decree has been to facilitate significantly church repairs; however, Christians report that local permits still are subject to security authorities' approval. The approval process for church construction continued to be time consuming and insufficiently responsive to the wishes of the Christian community. As a result of these restrictions, some communities use private buildings and apartments for religious services.

The Culture of Egypt has five thousand years of recorded history. Ancient Egypt was among the earliest civilizations. For millennia, Egypt maintained a strikingly complex and stable culture that had a profound influence on later cultures of Europe, the Middle East and Africa. After the Pharaonic era, Egypt itself came under the influence of Hellenism, for a time Christianity, and later, Arab and Islamic culture. Today, many aspects of Egypt's ancient culture exist in interaction with newer elements, including the influence of modern Western culture, itself with roots in Ancient

Among the modern talents of Egyptian literature, Naguib Mahfouz is foremost. In 1988, he was awarded the Nobel Prize for Literature. Other well-known Egyptian writers include Nawal El Saadawi, who is well known for her feminist works and activism, and Alifa Rifaat who is conservative and writes about women and tradition

The national government of Egypt is divided into an executive branch, a legislative branch and a judiciary branch. The Constitution grants wide powers to the executive. The President of Egypt heads the executive branch. The President’s powers stem from his ability to appoint the powerful prime minister and one or more Vice-Presidents. However, the President’s choice of the prime minister has to yield and maintain the approval the People’s Assembly (Majilis Al-Sha’ab), the lower house of Parliament.

The region around the Nile is one of the oldest continually-inhabited areas in the world. Ancient Egyptian musicians are known to have played harps and flutes circa 4000 BC, and double clarinets and lyres from around 3500 BC. Percussion instruments were added to orchestras by 2000 BC. It is probable that no system of musical notation existed at the time, as none have survived. The music of ancient Egypt has not been documented, but some musicologists believe that the liturgical music of the Coptic Church is directly descended from ancient Egyptian music.

The Nile valley forms a natural geographic and economic unit, being bounded to the east and west by deserts, to the north by the sea and to the south by the Cataracts of the Nile. The need to have a single authority to manage the waters of the Nile led to the creation of the world's first state in Egypt in about 3000 BC.