Late Summer – Emperor Manuel I Komnenos sends an embassy to Egypt to demand tribute, and threatens the country with war when they refuse to pay it. The Byzantine fleet under Admiral Andronikos Kontostephanos sets out from the Hellespont; 60 war galleys are sent to Palestine with money for "the knights of Jerusalem". Andronikos with the rest of the fleet sails to Cyprus, at which he defeats a patrolling squadron of 6 Fatimid ships.[1]
Spring – Gerald the Fearless, Portuguese warrior and knight, receives the support of King Afonso I ("the Great"). The Almohad caliph, Abu Yaqub Yusuf, manages to broker an alliance with King Ferdinand II against Afonso. The allies manage to besiege Badajoz, and finally take both Afonso and Gerald prisoner.[2]
February 4 – 1169 Sicily earthquake: An earthquake with an estimated magnitude of around 7 strikes the eastern coast of Sicily, causing an estimated 15,000 deaths.
Spring – A Zangid expedition under General Shirkuh accompanied by his nephew Saladin invades Egypt. King Amalric I of Jerusalem orders his fleet to return to Acre and retreats with the Crusaders back to Palestine.
January 8 – Shirkuh enters Cairo, leaving the Zangid army encamped outside the city. He goes to the palace, where the 18-year-old Fatimid caliph Al-Adid welcomes him with ceremonial gifts and promised money.[1]
January 18 – Shawar, Fatimid vizier and de facto ruler, is invited to join Shirkuh on a pilgrimage to the tomb of Al-Shafi'i. Underway he and his escort are taken prisoner; on orders from Al-Adid, Shawar is decapitated.[1]
March 23 – Shirkuh dies from over-eating after a 2-month reign.[1] He is succeeded by Saladin, who is appointed chief vizier of the Fatimid Caliphate. He takes over as commander of Nur al-Din's forces in Egypt.[6]
Summer – Saladin invites his brother Turan-Shah to join him in Cairo. He brings his family and retinue with him but also a substantial army provided by Nur al-Din. Turan-Shah is welcomed by Al-Adid as a friend.[6]
August 21–23 – At the Battle of the Blacks, Saladin crushes a rebellion by Sudanese forces (50,000 men) of the Fatimid army, along with a number of Egyptian emirs and commoners. He never again has to face a military uprising from Cairo.[7]
Winter – Saladin supported by reinforcements from Nur al-din, defeats a Crusader-Byzantine force under Amalric I near Damietta. During the 3-month siege, the Crusaders are forced to retreat to Palestine.[1]
Eleanor of Aquitaine leaves the English court of Henry II, to establish her own court in Poitiers. It will become known as a center of courtly love. Richard I accompanies his mother and is made heir to Aquitaine.
^Picard, Christophe (2000). Le Portugal musulman, VIIIe-XIIIe siècle: L'Occident d'al-Andalus sous domination islamique. Paris: Maisonneuve & Larose. p. 110. ISBN2-7068-1398-9.
^Warren, W. L. (1961). King John. University of California Press. p. 37.
^Makk, Ferenc (1989). The Árpáds and the Comneni: Political Relations between Hungary and Byzantium in the 12th century (Translated by György Novák). Akadémiai Kiadó. pp. 105–106. ISBN963-05-5268-X.
^Moody, T. W.; Martin, F. X., eds. (1967). The Course of Irish History. Cork: Mercier Press. p. 370.