The purpose of this research was to explore the mediating effects of promoting interaction between classroom goal structure and students’ intrinsic motivation. A conceptual model of the three variables was developed and tested using mediation analysis. Participants included 60 students of age group 12-14 of 8^th grade of a private Higher Secondary School. The result of this study revealed that classroom environment affects the perception of the students about their achievement related behavior and outcomes. This further influences the intrinsic motivation of the students. However, the effect of classroom context on students’ motivation is not always mediated through promoting interaction. The findings of the present study do not support the results and suggestions of the previous researchers. Finding suggests that there is a need for a rigorous and systematic investigation on the link between classroom goal structure and students’ intrinsic motivation by identifying a mediating variable. Also, it may be mentioned that there is a need for taking into consideration both the teachers’ classroom and personal goal orientations that affect students’ perceptions as this may further influence their learning.