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Castro, 81, said in a statement to the country that he would not seek a new presidential term when the National Assembly meets on February 24.
"To my dear compatriots, who gave me the immense honor in recent days of electing me a member of parliament ... I communicate to you that I will not aspire to or accept -- I repeat not aspire to or accept -- the positions of President of Council of State and Commander in Chief," Castro said in the statement published on the Web site of the Communist Party's Granma newspaper.
The National Assembly or legislature is expected to nominate his brother and designated successor Raul Castro, 76, as president in place of Castro, who has not appeared in public for almost 19 months after being stricken by an undisclosed illness.
The title of "Comandante en Jefe" or commander-in-chief, was created for him in 1958 as the leader of a guerrilla movement that swept down from the mountains of eastern Cuba to overthrow US-backed dictator Fulgencio Batista.
Castro's retirement draws the curtain on a political career that spanned the Cold War and survived US enmity, CIA assassination attempts and the demise of Soviet Communism.
A charismatic leader famous for his long speeches delivered in his green military fatigues, Castro is admired in the Third World for standing up to the United States but considered by his opponents a tyrant who suppressed freedom.
His illness and departure from Cuba's helm have raised doubts about the future of the Western Hemisphere's only communist state.
"Fortunately, our Revolution can still count on cadres from the old guard and others who were very young in the early stages of the process," Castro said in his statement.
"They have the authority and the experience to guarantee the replacement," he said.
The bearded leader who took power in an armed uprising against a U.S.-backed dictator in 1959 had temporarily ceded power to his younger brother after he underwent emergency surgery to stop intestinal bleeding in mid-2006.
Castro has only been seen in pictures since then, looking gaunt and frail, though his health improved enough a year ago to allow him to keep in the public mind writing reams of articles published by Cuba's state press.
"This is not my farewell to you. My only wish is to fight as a soldier in the battle of ideas. I shall continue to write under the heading of 'Reflections by comrade Fidel.' It will be just another weapon you can count on. Perhaps my voice will be heard. I shall be careful," Castro said.
Castro could remain politically influential as first secretary of the ruling Communist Party and elder statesman.
Raul Castro, Cuba's long-standing defense minister, has run the country since July 31, 2006 as acting president. He has raised expectations of economic reforms to improve the daily lot of Cubans, but has yet to deliver.

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This thug reduced Cuba to a dustbowl,begging bowl and basket case of the World. This is what communism does to you, reduce you to starvation and emaciation.All the communist in India must take note. Now his predecessor Raul, would like economic aid from the Great Satan,USA. Bloody cheek
Indian communists and their dailies always talk about cuba and fidel.Now they included venezuala pm.These beggers know only this much.They know how to keep people fools
Castro is in hurry mood.let him relax and take redecision.He is the better candidate than others to rule cuba to keep cuban fools always poor.Or otherwise he can bring his brothers and sisters for his heir.Anyhow cuba should be poor with 100% fools.
OH NO UNCLE FIDEL, PLEASE DO NOT RETIRE JUST YET, YOU HAVE RULED CUBA FOR ONLY 50 YEARS , WHAT IS HURRY? PLEASE STAY ON FOR ANOTHER 25 YEARS, AND SET AN UNBREAKABLE RECORD OF RULING FOOL PEOPLE FOR LIFE
In the Past,In the Present and In Future, no Communist Country has delivered decent standard of living, human dignity and dynamic social and economic progression and development, without the adopting Free Market Economies and efficient Capitailst system. Now Raul wants the Devil, the USA, to come and show him the ropes so that he can pull back Cuba from the cesspit of human discard and an economic basket case. I trust the Indian Commies will learn from the Cuba shites and shambles.
Would you know anything better? You drug pusher and an ignorant child molester, and you call yourself a patriot? you arseho**.
Refugee or citizen--it is not a problem when somebody tells the truth.Communism is spoiling not only country but also it's own people wherever they live.It is my relative's story.
Hats off to him.The legend.
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