This study examined relationship between forgiveness and subjective well-being as correlates of National identity: implications for National Development. The participants were 166 students who were drawn from Nnamdi Azikiwe University Awka. Age range of participants was between 17 years and 29 years while mean age was 21.24 years and standard deviation 2.17. Data for the study was collected using forgiveness scale Rye (1998), subjective well-being scale by Diener, Emmons, Larsen and Griffin (1985) and National Identity Scale by Lilli and Diehl (1999).The study adopted correlation design. Consequently Pearson product moment correlation coefficient was used to as the statistical tool for data analysis. Result showed that there was significant correlation between forgiveness and national identity at r= .53**, P < .00. Also there was a significant positive correlation between Subjective well-being and national identity at r=.48**, P<.001. It was concluded that both forgiveness and subjective well-being relate positively to national development. It was recommended that forgiveness should be adopted among students as this will enhance national identity. Also, that school management should seek ways to improve well being of students so as to enhance sense of identity.