The powerful Egyptian president finally bowed to the public demand and annulled the controversial decree, Saturday.
The controversial decree by Morsi resulted into violent demos throughout Egypt
The controversial decree issued November 22 had put Morsi's decisions beyond judicial review - a high-handed measure fiercely denounced as dictatorial by the opposition.
Opposition leaders demanded it be rescinded and the referendum be scrapped before they entered into any dialogue with Morsi to calm a crisis which exploded into street clashes this week that left seven people dead and hundreds injured.
The decision to annul the decree came after Egypt's powerful military warned Morsi and the opposition to sit down for talks, otherwise it would take steps to prevent a "disastrous" degradation of the situation.