Switchgrass (Panicum virgatum L.) has been increasingly recognized as one of the most valuable perennial bioenergy crop. To improve its biomass production, especially under salt stress, we isolated a putative vacuolar Na+ (K+)/H+ antiporter gene from switchgrass and designated as PvNHX1. Subcellular localization revealed that this protein was localized mainly on the vacuole membrane. The PvNHX1 was found to be expressed throughout the entire growth period of switchgrass, exhibited preferentially expressed in the leaf tissue, and highly induced by salt stress. Transgenic switchgrass overexpressing PvNHX1 showed obvious advantages with respect to plant height and leaf development compared to the wild-type (WT) and transgenic control (EV, expressing the empty vector only) plants, suggesting PvNHX1 may serve as a promoter in switchgrass growth and development. Moreover, transgenic switchgrass were more tolerant than control plants with better growth-related phenotypes (higher shoot height, larger stem diameter, longer leaf length, and width) and physiological capacities (increased proline accumulation, reduced malondialdehyde production, preserved cell membrane integrity, etc.) under high salinity stress. Furthermore, the genes related to cell growth, flowering, and potassium transporters in transgenic switchgrass exhibited a different expression profiles when compared to the control plants, indicating a pivotal function of PvNHX1 in cell expansion and K+ homeostasis. Taken together, PvNHX1 is essential for normal plant growth and development, and play an important role in the response to salt stress by improving K+ accumulation. Our data provide a valuable foundation for further researches on the molecular mechanism and physiological roles of NHXs in plants.