The study aimed to identify the characteristics of the Egyptian literature funded by STDF and to know the effect of the STDF funding on the quality of this literature. To achieve the objectives of the study, the researcher collected the Egyptian literature funded by the STDF that indexed in the WOS and SCOPUS databases during the period 2007-2019. The found 2,849 research papers. The study showed that the growth rate of research funded by STDF is 55.7%. Public universities are the largest contributor to literature, while the National Research Center is the most important research institution contributing to this literature. The Egypt-America Joint Fund for Science and Technology is the largest foreign funding agency that participated with STDF in funding Egyptian literature. The literature funded by STDF published in 1,313 scientific periodicals, published by 230 publishers, led by the Elsevier, 93% of these periodicals have an impact factor, co-authoring is the common type of authoring. International cooperation between Egyptian researchers and foreign researchers constitute of approximately half of the literature. STDF funds 106 topics and the chemistry is considered as the most frequently funded subject, followed by engineering, then pharmacy and pharmacology. The study showed a positive effect of STDF funding on the quality of Egyptian literature compared to unfunded Egyptian literature, either in the value of the impact factor of the periodicals in which it was published or in the average number of citations and the average number of using.