A study on the influence of magnesium ferrite nanoparticles on the optical and dielectric attributes of Polyaniline has been conducted. Magnesium nano Ferrite powder is synthesized by the self-propagating solution combustion method. Polyaniline-Magnesium nano ferrite composites are synthesized by chemical oxidative polymerization of aniline with the addition of Magnesium nanoparticles. The samples are characterized with XRD and UV-Vis spectrometer, in the wavelength range of 200-800 nm and studied for optical properties. Dielectric properties are studied in the frequency range of 50 Hz to 5 MHz. X-ray diffraction reveals single phase formation of Magnesium ferrite, whereas Polyaniline shows an amorphous nature. In the XRD of the composites, we see the crystalline peaks of ferrite becoming more intense with the addition of ferrite and whereas the peak of Polyaniline diminishes. The crystallite size is quantified with the Debye-Scherrer formula, and it increases as the content of ferrite in the composites increases. The micro-strain decreases in the composites as the percentage of ferrite enhances in the composites. In the UV-Vis absorption spectra of composites, the peaks of Polyaniline shift to higher wavelength and there is also an absorption band in the spectra of composites corresponding to that of Magnesium ferrite particles. Both direct and indirect band gaps are calculated with the Tauc plot, and both the optical band gap decrease as the percentage of ferrite increases in the composite. The dielectric loss and dielectric constant both decrease with frequency in all the samples, and the dielectric response are in good agreement with Maxwell-Wagner model. Ferrite-polymer composites with both conducting and magnetic properties are considered useful for electromagnetic shielding and microwave absorption.