Emotion recognition in conversation (ERC) is essential for dialogue systems to identify the emotions expressed by speakers. Although previous studies have made significant progress, accurate recognition and interpretation of similar fine-grained emotion properly accounting for individual variability remains a challenge. One particular under-explored area is the role of individual beliefs and desires in modelling emotion. Inspired by the Belief-Desire Theory of Emotion, we propose a novel method for conversational emotion recognition that incorporates both belief and desire to accurately identify emotions. We extract emotion-eliciting events from utterances and construct graphs that represent beliefs and desires in conversations. By applying message passing between nodes, our graph effectively models the utterance context, speaker’s global state, and the interaction between emotional beliefs, desires, and utterances. We evaluate our model’s performance by conducting extensive experiments on four popular ERC datasets and comparing it with multiple state-of-the-art models. The experimental results demonstrate the superiority of our proposed model and validate the effectiveness of each module in the model.