As you asked for what other Countries do:
In the Netherlands Literature is combined with languages.
So British and American Literature are part of English, French literature is part of French, German literature is part of German, etc. As not everybody has 'all' languages, not everybody reads books from other cultures then Dutch and English.
Flanders read more in translation. So Romeo and Julia, Tristan und Iseult, Animal Farm, Le Petit Prince are all read in Dutch in Flanders.
Dutch recommendations...
As I suppose you can't read Dutch I have a problem.
Great works as Daens or Multatuli are not translated into English.
The Diary of Anne Frank is translated, is important for its Historian Value, but not because it is great Literature...