<p>This paper introduces a novel methodology for determining the photovoltaic (PV) hosting capacity of distribution networks by integrating short-circuit impedance analysis with maximum PV penetration assessment under dynamic stability, inverter control, and grid code considerations. This methodology utilizes Power System Simulation for Engineering (PSS/E) software by applying multiple equivalent Thevenin impedance values to a typical distribution network. The findings of this methodology are then applied to a part of Egypt’s distribution network to validate the obtained results and find the maximum hosting capacity. The second objective is to increase the PV hosting capacity by applying different control techniques to PV inverters. Results show that the PV inverter can provide voltage support and act as an active source in the power system to achieve the grid code requirements. It is also concluded that we can predict the hosting capacity of any bus in a distribution network. The results obtained from the typical system are in good agreement with those obtained from the conventional analytical method applied to the fundamental part of the Egyptian distribution network. Based on static and dynamic assessments, this research helps utility operators make decisions about large-scale PV integration into the distribution network.</p>