Natural language processing (NLP) is the general name for the methods and algorithms developed for computers to understand, interpret and produce human language. NLP plays a critical role in many fields, from social media analyses to customer service, from language translation to healthcare. This paper provides a comprehensive overview of the basic concepts of NLP, popular algorithms and models, performance comparisons, and various application areas. Key concepts of NLP include language models, tokenisation, lemmatisation, stemming, POS tagging, NER and syntactic parsing. These concepts are critical for processing, analysing and making sense of texts. Language models include popular methods such as N-gram, Word2Vec, GloVe and BERT. NLP algorithms are classified as rule-based methods, machine learning methods and deep learning methods. Rule-based methods are based on grammatical rules, while machine learning methods work on the principle of learning from data. Deep learning methods, on the other hand, achieve high accuracy results by using large datasets and powerful computational resources. In the performance comparison section, it is stated that the algorithms are evaluated with metrics such as accuracy, precision, recall and F1 score. Advanced models such as BERT and GPT-3 show superior performance in many NLP tasks. In conclusion, the field of NLP is rapidly evolving, with significant advancements anticipated in several key areas. These include the creation of more effective and efficient models, efforts to reduce biases, enhanced privacy protection, the growth of multilingual and cross-cultural models, and the development of explainable artificial intelligence techniques. This paper provides a comprehensive overview to understand the current status and future directions of NLP technologies.