In this study, the Halloysite nanotubes (HNTs) are surface-functionalized with sodium alginate (Sod.alg) and poly (vinyl alcohol) (PVA) were employed to generate nanocomposite films (Sod.alg-rHNT/PVA). These nanocomposite films were made via the solution casting technique. FE-SEM data verified sod.alg-rHNT dispersion into the PVA matrix. The modifications were confirmed from FTIR, TGA and PXRD techniques. In the mechanical studies of synthesized nanocomposite films, the films showed a considerable increase in the tensile strength and Young's modulus values. The nanocomposite film's ability to induce cell proliferation and migration was investigated using murine fibroblast (NIH3T3) cells. The films increased cellular proliferation (128 ± 1.07 %) compared to the neat PVA. Cell adhesion tests showed cytocompliant films. In the scratch assay, the 5 wt% film elicited wound closure at a faster rate (91.53 ± 1.04 %). Films were compatible with human blood cells. Therefore the prepared nanocomposite films can be used as promising wound healers after pre-clinical and clinical testing.