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Morale

Every creature has a base morale level that governs whether it fights or runs during a battle.

The protagonist is immune

The only character unaffected by morale is the one you create. Other party members have their own morale scripts.

Every creature is scripted to react differently when its morale breaks: some flee, others switch tactics. A creature with low morale might choose ranged attacks over melee, or vice-versa. Each creature also has a recovery time — how long it takes for morale to climb back to its base value.

If a party member fails a morale check, their selection circle turns yellow (from green).

What boosts morale

  • A high-Charisma leader (the topmost character in the portraits).
  • Being in a favourable environment for the creature — kobolds and drow like being underground more than out in the open.
  • Certain spells — Remove Fear is the classic example.
  • Easy enemies in view raise morale.

What breaks morale

  • Being attacked by powerful magic.
  • Seeing an ally killed or knocked unconscious.
  • Losing a lot of hit points in a short time.
  • Spotting a difficult foe.

Source: bgee/original_manuals/baldurs_gate_1_ee_mastering_melee_and_magic.pdf — "Morale".