Puig, who began considering leaving the sport at the last world championship round in Australia, said yesterday in his native city of Barcelona in north-eastern Spain that retiring is the solution that best suits him.
"I feel all right, because I know that if I hadn't been injured I would have achieved greater things," Puig said.
Puig became the first Spanish rider to win a 500cc race in Spain, with victory in the 1995 Spanish Grand Prix in the southern city of Jerez.
However a string of injuries, particularly a serious accident on the Le Mans circuit in 1995, encouraged Puig to quit professional motorcycling.
In the training session in Le Mans he crashed into a straw bale at 186mph and badly damaged his leg.
Puig said that he would maintain links to the motorcycling world.Reuse content