This research study investigates effects of character education activities on the self-esteem of intellectually able and less able students in the lower elementary level in Kuwait. The participants were 39 students in grade three with an average age of eight years old. Students were first divided into two ability subgroups (intellectually able vs. intellectually less able), based on their IQ scores on the Kuwaiti Raven Standard Progressive Matrices (RSPM). The Rosenberg Self-Esteem Scale (RSS) was also administered before and after a five-week implementation of the program. The experimental group received character education, and the control group received traditional English lessons with no specific character education. The results revealed that the intellectually able students who received character education showed a higher self-esteem rating than the intellectually less able. The character education program had benefited the intellectually able more than the intellectually less able students.