Current study was planned to construct a scale to measure psychological capital for Pakistani school adolescents. A sample of 400 adolescent (8th to 10th graders) was approached, through convenient sampling technique, from public sector schools of different districts. Study was conducted in four steps i.e. construct identification, item generation, item formulation and empirical item evaluation. Exploratory factor analysis by using principal component with Varimax rotation demonstrated four distinct factors including; resilience, self-efficacy, hope and optimism. Good alpha reliabilities were found and convergent validity has been ensured by examining correlation with Happiness Scale (Lyubomirsky & Lepper, 1999), Herth Hope Index (Herth, 1989), Life Orientation Test (Scheier, Carver, & Bridges, 1994), and generalized self-efficacy scale (Schwarzer & Matthias, 1993), whereas discriminant validity was computed by correlation with happiness scale and two subscales of i.e. extraversion and agreeableness of NEO-Five Factor Inventory (McCare & Costa, 2004). Limitations and suggestions have also been discussed.