As DethAdder mentioned, some of the racial abilities are selected using the 10 points you get when designed a race. Some other abilities are natural to that specific race, meaning that you get that bonus regardless of other choices as long as you don't overwrite those with your own racial picks.

For example, the custom race gets a hefty 25% soldiering bonus. If you pick a 10% soldiering bonus, you lose the remaining 15% and spend a point on that. You could, of course, spend three points on the 30% bonus but in reality you're paying three points for a 5% boost; not that much. Thing is that it is possible to overwrite the natural bonus and then lose it completely if the game indicates this correctly.

Perhaps it would be handy for the game to colour the skills differently so you know what's inherent and what isn't. Also, making the skills permanent so that even if you mess up and clear you don't lose the inherent bonus would be nice.

Some of the advantages a race gets are not listed on the racial picks. Miniaturization and logistics for example. These can't be influenced as far as I know.

You can see what skills are racial picks and what are natural by pressing the clear button on the racial picks screen, then go to another screen such as the political party selection and then going back to the overview. I believe (but not sure) that you will see all the natural skills then.

Inherent abilities are free and come with the race. If you try to select different ability amounts in the "free" category you actually lose them, so don't do this. The inherent ability values are always different than ones selectable. As suggested above you can always go back and come back in to reset the "inherent" abilities then use the reset button to get your 10 ability points back.

Always use up your ability points, it's foolish not to.

The following are the inherent abilities for each of the races as of v1.3. AFAIK they're still the same in v1.4.

Terran
25% Diplomacy
+6 Logistics
25% Trade

Yor
+8 Logistics
100% Loyalty
20% Miniaturization

Drengin
+7 Logistics
25% Morale

Altarian
30% Creativity
+5 Logistics
30% Luck

Drath
50% Defense
25% Diplomacy
50% Espionage
+6 Logistics
25% Military Production

Torian
20% Courage
+6 Logistics
10% Luck
25% Morale

Arcean
+7 Logistics

Korx
10% Courage
15% Economics
+6 Logistics
20% Trade

Iconian
+7 Logistics

Thalan
+6 Logistics
40% Loyalty
10% Miniaturization

Custom
20% Loyalty

IMHO the best choice of race is Torian (or Drengin) because of the "free" 25% morale bonus. The Drath have the best all round bonus and are another popular choice. The Yor's Miniaturization is pretty powerfull as well.

The other aspect of race choice is the starting techs. The Yor have the best set of starting techs. The Drath's are pretty decent as well.

Sheesh but you can overlook a great many important details when you get obssessed at the story level of the game. I never thought of looking into whether a given species was "the best choice." I get into my rut of the moment based on thoroughly subjective responses to the game UI and my current reading elsewhere.

In fact, it seems like a major GCII design flaw if Mumble's analysis is accurate--the devs should be working to ensure that play style (and "skills," I guess) are the most relevant variables, not initial conditions for a given game.

Of course that's probably a "perverted" take based on my having been one of those at-the-table RPG folks who thought the best games were ones where "winning" was a detail, not a goal

In fact, it seems like a major GCII design flaw if Mumble's analysis is accurate

I wouldn't call it a design flaw. Not everyone would agree with my statement that the Torian/Drengin 25% morale bonus was the best choice.

The default settings of the races also include preset selections for the 10 ability points that form a large part of the races "character". For newcomers to the game, the resetting of points to get the "free" abilities and then using the 10 ability points to get the best abilities consistent with their strategy, can be a bit much to ask. Having a set of races with abilities consistent with the races "character" is a convenience.

Once people progress a bit in the game, they can decide for themselves what abilities go best with their strategy and can then "tune" their race accordingly. In the end, though I do think the Torians are the best choice, it's by no means game breaking.

For example, the Drengin have the same 25% morale bonus as the Torians but that's it. The Torians have additional courage and luck, why would anyone select the Drengin? Well for one, if you play the metaverse and are going for your racial medal, which is why I'm playing as the Drengin right now. Also for a change or a challenge. I don't always want the "best" starting conditions, sometimes it can be fun to have to struggle a bit more.

Thanks to Mumble for the Race bonus stats, I just "cut/paste" that into my strat guide.
As for the Torians, Uck!!!! They are so ugly I don't think I could EVER play a game as them. They look like a green version of that weird, creepy "phone home" alien...
And they are sooo much fun to destroy, I think that is the reason they are in the game !!!!!

As for the Torians, Uck!!!! They are so ugly I don't think I could EVER play a game as them.

  Actually when you play as the Torians you don't ever have to look at them but I do appreciate the sentiment. They have that ugly green race color as well but I usually change that to gold.

ugly green race color

Quite un-PC for a PC gamer

p.s. to Stardock: any chance of making the gender of the Terran character random for DA? I think some screencaps showed the mods-born Female Human leader pic--if she doesn't represent some new storyline, it seems plausible to have the Terrans led by her in a fair portion of games.