Her husband and PKR advisor Datuk Seri Anwar Ibrahim confirmed this in an Al-Jazeera interview Wednesday night.
"She has remained PKR president, but she has now decided not to contest in the election," he said.
Anwar was also quizzed about criticism that PKR suffered from nepotism, and was controlled by Anwar's family.
Responding to this, Anwar said his daughter and party vice-president Nurul Izzah had to work hard to attain her position.
"We are here in a struggle. You can't compare this to the children of the very rich and the famous, but I leave it to the people to decide," he said.
Wan Azizah has held the Permatang Pauh parliamentary seat since 1999 but gave it up in 2008.
Anwar then stood in a by-election there later that year, and won.
It is not known who will stand in Permatang Pauh during the 13th general election, with Anwar having his eye on a Perak seat.
tunku : only happens in pkr, an elected president is not contesting and an appointed de facto leader will contest.
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