OIC Secretary-General Iyad Madani "has resigned for health reasons," the Jeddah-based organisation said in a statement yesterday, two days after Cairo condemned the comment that provoked outrage among Egyptians.
"The OIC General Secretariat takes this chance to express its utmost appreciation and respect to all member states," the 57-member bloc said.
The former Saudi minister made the comment last week after he mixed up Sisi's name with that of Tunisian President Beji Caid Essebsi at a conference.
He was referring to widely derided comments made by Sisi earlier last week in which he claimed that his fridge only had water in it for a decade.
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Egypt's Foreign Minister Sameh Shoukry on Saturday said Madani's remark was "a serious encroachment against a founding member state of the organisation and its political leadership".
"Such remarks do not conform with the responsibilities and the duties of the organisation's secretary general position, and fundamentally affect his ability to carry out his duties," he added in a statement in English.
Saudi Arabia has nominates its former minister of social affairs, Youssef al-Utaymeen, to replace Madani, the OIC statement said.