We have investigated the optical properties of GaN nanorods with different diameters by using micro- and time-resolved photoluminescence measurements. Donor-bound and free exciton peaks are observed in GaN nanorods with diameters larger than 100 nm. While the relative magnitude of the free exciton emission gradually increases with decreasing nanorod diameter, there is a relative decrease in the emission from the donor bound exciton. Using time-resolved photoluminescence, the diameter dependence of the decay times for these exciton peaks is measured to be a few tens of PS. With decreasing diameter, the decay time decreases due to surface recombination.