He made the announcement in a televised address to the nation on Wednesday evening.
Earlier, Mr Zuma’s governing ANC party told him to step down or face a vote of no confidence in parliament.
The 75-year-old has been under increasing pressure to give way to Deputy President Cyril Ramaphosa, the ANC’s new leader.
Mr Zuma, who has been in power since 2009, faces numerous allegations of corruption.
Earlier on Wednesday, police swooped on the Johannesburg home of the powerful and wealthy Gupta family with whom Mr Zuma has close ties.

South African President Jacob Zuma waves as he arrives at the First National Bank (FNB) Stadium, also known as Soccer City, ahead of the national memorial service for late former South African President Nelson Mandela in Johannesburg December 10, 2013. World leaders from U.S. President Barack Obama to Cuba’s Raul Castro joined thousands of South Africans to honour Mandela on Tuesday in a memorial that will celebrate his gift for uniting enemies across political and racial divides. REUTERS/Siphiwe Sibeko (SOUTH AFRICA – Tags: POLITICS OBITUARY TPX IMAGES OF THE DAY)