This article explores the reinforcement of various characteristics of a biocompatible PVA/PMMA polymer blend through the incorporation of functionalized graphene oxide (N-GO). PVA/PMMA/N-GO nanocomposites were synthesized using a melt blending technique with varying N-GO wt.%. Characterization revealed significant improvements: reduced refractive index and optical bandgap, increased extinction coefficient, Urbach energy, and optical dielectric constants. XRD analysis showed enhanced crystallinity and reduced micro-strain, indicating suitability for high-performance applications. FTIR analysis detected minor shifts in functional groups (O-H, C-H, C-O, and C-C), while PL properties were modulated. In addition, the antibacterial activities of the prepared polymer nanocomposites have been investigated against Escherichia coli (gram-negative bacteria) and Bacillus subtilis (gram-positive bacterial). These results demonstrate the potential of PVA/PMMA/N-GO composites for diverse technological applications.