γ-aminobutyric acid (GABA), recognized as a primary inhibitory neurotransmitter within the brain, serves a crucial role in the aging process and in neurodegenerative conditions such as Alzheimer’s disease. Research has demonstrated the beneficial effects of GABA, particularly for elderly individuals. Given that elderly individuals often encounter challenges with swallowing food, beverages designed to address dysphagia represent a preferable option for this demographic. Among the different processing techniques, the germination process triggers biochemical changes, leading to an increase in certain nutrients and bioactive compounds (e.g., GABA). Therefore, we attempted to develop a novel functional beverage utilizing germinated brown rice enriched with GABA and studied its nutritional and bio-functional characterization. The optimal conditions (X1, X2, X3 and X4.) were determined: powdered sugar (40 g), chocolate powder (20 g), sodium carboxymethyl cellulose (0.5 g), GBR (220 g), and water (440 mL). The results of storage studies indicated that the germinated-brown-rice-based beverage exhibited favorable nutritional attributes, including increased γ-oryzanol (52.73 ± 1.56%), total phenolic content (26.68 ± 1.56 mg GAE/100 g), niacin (5.17 ± 0.14%), and GABA (42.12 ± 0.63 mg/100 g) levels. Additionally, the beverage demonstrated notable antioxidant activity (74.23 ± 2.37 µmol TE/100 g), suggesting potential health-promoting effects. Sensory evaluation revealed satisfactory acceptability among consumers, highlighting its palatability. Overall, this study elucidates the development of a novel functional beverage utilizing germinated brown rice enriched with GABA, offering promising nutritional and bio-functional characteristics for health-conscious consumers.