Sugarcane bagasse (SCB) was grafted with acrylamide (AAm) and glycidyl methacrylate (GMA) by chemical oxidation method. The effect of monomer/initiator molar ratio, reaction time, reaction temperature and material to liquor ratio on the degree of grafting was investigated. The optimum conditions for grafting were: monomer/initiator molar ratio 1 for AAm and 2 for GMA, reaction time 4 h, reaction temperature 80 °C and materials to liquor ratio 1:20. Silver nanoparticles (AgNPs) were prepared and characterized by X-ray diffraction (XRD) and transmission electron microscopy (TEM). Ungrafted SCB, SCB-g-AAm and SCB-g-GMA were impregnated into silver (Ag) nanoparticles colloidal solution. The ungrafted SCB, grafted SCB and their nanocomposites with Ag nanoparticles were characterized by FT-IR spectroscopy, X-ray diffraction (XRD) and scanning electron microscopy (SEM). The grafted SCB/Ag nanoparticles exhibit better antimicrobial activity against Escherichia coli as the model Gram-negative bacteria, Staphylococcus aureus as the model Gram-positive bacteria and Aspergillus flavus and Candida albicans (yeasts) than ungrafted SCB/AgNPs.