Smith broke the news to his team mates after close of play earlier today.
Speaking of his decision Smith said: “This has been the most difficult decision I have ever had to make in my life.
It’s a decision that I have been considering since my ankle surgery in April last year. I have a young family to consider, and I felt that retiring at Newlands would be the best way to end it because I have called this place home since I was 18 years-old.
I’m extremely honoured and proud to have had the privilege to lead so many wonderful players and to have been a part of building the Proteas culture to what it is today. It is a culture that every player can be, and is, immensely proud of,” Smith continued.
Smith made his first-class debut for South Africa at the age of 21, and ends his illustrious career with 17 228 International runs and as the most capped Test captain in the history of the game.