Full-stack Python development involves using Python for both front-end and back-end components of a web application. Django, a high-level Python web framework, contributes by providing a well-structured backend architecture with features such as MVC architecture, ORM, security measures, URL routing, middleware, and a built-in admin panel. While Django includes its templating engine for basic front-end rendering, it can also be integrated with JavaScript frameworks for more dynamic user interfaces. The framework's batteries-included philosophy offers numerous built-in features, simplifying development and promoting best practices.