The present study deals with the synthesis and characterization of nanocrystalline vanadium pentoxide (V2O5) nanoparticles and their antibacterial and antifungal activity onStaphylococcus aureus and Aspergillus niger, respectively, by agar diffusion method. The metal oxide has been synthesized by employing the sol-gel method, polyaniline (PANI) has been synthesized by chemical oxidation, and PANI/V2O5composites have been synthesized byin situpolymerization method with different ratios (10, 20, 30, 40, and 50 weight%) of V2O5in PANI. The newly prepared composites were characterized by FTIR and powder X-ray diffraction (P-XRD) techniques and are found to be formed of PANI/V2O5nanocomposites, and also the compounds showed moderate antibacterial and antifungal activity.