Nowadays, researchers consider that social context and entrepreneur behavior play a vital role in the development of a society. Physical capital and human capital alone are inadequate to predict and end the entrepreneurial issues, hence, it is indispensible to study social capital and psychological capital to find the antecedents of entrepreneurship. Entrepreneurship is thought to be very crucial for the rural development which can address economic woes by tackling the problems of rural emptiness. Thus, this study aimed at finding a relationship between social capital, psychological capital and entrepreneurial intention of university students of rural areas (GB). For this, data were randomly collected from the students studying all over the country, structural equation modeling was used to find the relationship and bootstrapping and regression were used to find the mediating role of psychological capital. For the analysis and estimation of data, SPSS 26 and Amos 26 were used. Findings of the study reveal that there is a significant relationship between social capital and entrepreneurial intention and psychological capital mediates the relationship between social capital and entrepreneurial intention. Supervisor:- Dr. Mariam Mohsin