Natural bone tissue resembles a nanocomposite structure in several senses that is, being a porous polymer ceramic material, a lamellar material, and a fiber-matrix material which provides appropriate physical and biological properties. To develop an ideal bone scaffold nanocomposites are the best choice as they can be engineered to possess the composition, structure and properties of native bone. The aim of this study was to fabricate a polymer-ceramic bilayer nanocomposite scaffold based on electrospun polycaprolactone (PCL)/polyvinyl alcohol (PVA) bilayer NFs blended with hydroxyapatite nanoparticles (HAp). The structural, chemical, thermal and morphological investigation of nanocomposites was carried out using XRD,FTIR, DSC and SEM techniques. The composition and Ca/P ratio of HAp was found out using Energy Dispersive X-ray analysis (EDX). Average fiber diameter of all the scaffolds ranged between 200 and 500 nm. (PVA-PCL)-HAp scaffold was found to have enhanced porosity of 64% and hydrophilicity of 141%. The MTT Assay findings prove that (PVA/HAp/PCL) NFs are biocompatible and enhance the adhesion and proliferation of MG-63 osteoblast cells which firmly establishes it as a potential scaffold for bone tissue engineering application. (C) 2014 Elsevier Ltd and Techna Group S.r.l. All rights reserved.