Education is the most important shared experienced in our lives it is so important and so all-pervasive that it is almost impossible to define. Education will not supply all the answers to the problems that beset us, either as individuals or as a nation, but if we set about it the right way, it is the best single means of promoting intellectual, moral, physical and economic wellbeing". Education teaches us the joy of learning and gives us the qualifications for employment, which builds confidence and self esteem and gives us the skills and values to meet the demands of a fast changing worlds and society. As education meet the demands of society so society is itself is a product of that knowledge or education which informs societal attitudes towards life and its problems, the value it attaches to the things of the world in general, the place of man in the universe in particular and the norm sets to which our thoughts and behavior must conform.The two contrasting regions of Peshawar and Khyber Agency in Pakistan have been selected for critical analysis and evaluation of the impact of varying social and political forces on the provision and type of education available in each area. Peshawar is a large city having a population of 2.9 million in 2005. The population is growing by 3.2 % annually and this growth rate is higher than most other Pakistani cities. Peshawar's residents consist mainly of Pashtoon people with Hindkowans as the minority group. Languages such as Pashto, Persian, Urdu, Khowar, Dari, Hindko, Saraiki and Punjabi are spoken in Peshawar. Peshawar can be sub-divided into two distinct regions, namely the urban region, which accounts for 51.32 % of the population, and the rural area with holds the remaining 48.68 % of the population. The population had increased two fold in the previous two decades. (Gaffar 2005) .The area of Peshawar district extends from Warsak north to south Matani, a distance of over 30 miles, and 18 miles from Hayatabad east to Taro Jaba in the west. It is located at an altitude of 1138ft above sea level. Most of the city's dwellers are Muslims with some Hindus, Sikhs and Christians minorities. Historically Peshawar was the centre of the Indus civilization and home to many other communities like Bukharan Jews and Zoroastrians.