Abstract: The present invention relates to modified formulations of recombinant human glycoprotein having an in-vivo biological activity to increase the production of reticulocytes and red blood cells. A stearically stabilized unilamillar vesicles (SSUV) containing the said biopharmaceutical composition and process for preparation thereof is provided. The pharmaceutical composition comprises a various lipids, covalently modified lipids with polyethylene glycol and or neutral detergent to form long circulating and tightly packed lipid vesicles, which reduced the reticulo-endothelial clearance of SSUV and cause the sustained released effect of encapsulated biopharmaceutical and recombinant human glycoprotein or an erythropoietin moiety. The scope of present invention also describes the process of encapsulation of biopharmaceutical into the SSUV driven by the pH gradient and also the buffer system to enhance the encapsulation efficiency, preventing the protein aggregation and or degradation.