Egypt jumped two positions in the monthly FIFA rankings announced on 8 August 2012, rising to 40 from last month's 42.
Last month, the Pharaohs climbed six positions to 42nd place from June's 48th.
The Egyptian national team kept their position in the African top ten and the Arab top five.
Spain remain top while five-time world champions Brazil stayed outside the top 10.
England reached their highest-ever ranking of third place without even playing a game.
Under current American coach Bob Bradley, seven-time African champions Egypt are supposed to play a friendly match against Oman on 15 August.
FIFA rankings (July positions in parentheses):
1. Spain (1)
2. Germany (2)
3. England (4)
4. Uruguay (3)
5. Portugal (5)
6. Italy (6)
7. Argentina (7)
8. Netherlands (8)
9. Croatia (9)
10. Denmark (10)
