The goalkeeper, who started the journey to Russia 2018 with the Super Eagles, was diagnosed with acute leukaemia in July 2017.
He has decided to drop his gloves at 32 according to a statement on his club, Wolverhampton Wanderers’ website.
“I spoke with the doctor and he suggested I should retire, because of the toll the treatment has taken on my body,” Ikeme told Wolves Website.
“He thinks it’s what is best for me and I can’t really risk trying to come back, my health is the priority.
“I want to be here for my children, family and friends. In the grand scheme of things with my life in danger, it’s the minimum price I have to pay to spend the rest of my time with my family.”
Wolves said they were sad and happy at the news.
“Having been at the club since the age of 14, Carl is far more than just a player in our eyes – he is our brother and an important part of our family,”
said Wolves executive chairman Jeff Shi.
“When Carl came to tell us (with) his news, yes there was sadness, but also great happiness to see him so healthy and hungry for the opportunities that lay ahead of him.
“Carl is strong, a fighter, something he has proven in his playing career and also during what has been a very challenging time for him, so I have no doubt he will be a success in whatever he does next.
“We wish Carl all the very best for the future, but remind him he will always remain a part of the Wolves family.”
Ikeme played for Wolves in three divisions – the EPL, Championship, and League 1, in a career that started in 2003.