Abstract. We obtain characterizations of left character amenable Banach algebras in terms of the existence of left φ-approximate diagonals and left φ-virtual diagonals. We introduce the left character amenability constant and find this constant for some Banach algebras. For all locally compact groups G, we show that the Fourier-Stieltjes algebra B(G) is C-character amenable with C < 2 if and only if G is compact. We prove that if A is a character amenable, reflexive, commutative Banach algebra, then A ∼ = C n for some n ∈ N. We show that the left character amenability of the double dual of a Banach algebra A implies the left character amenability of A, but the converse statement is not true in general. In fact, we give characterizations of character amenability of L 1 (G) * * and A(G) * * . We show that a natural uniform algebra on a compact space X is character amenable if and only if X is the Choquet boundary of the algebra. We also introduce and study character contractibility of Banach algebras.