Neutral beam injection (NBI) is known as one of the important methods of plasma auxiliary heating and current drive in fusion reactors. Optimization of the ion sources, as one of the main components of NBI systems, with high current and minimum divergence, can be very effective in order to reach more optimal dimensions of NBI systems. A high efficiency ion source designed using a helicon plasma source for neutral beam injection system (NBI) of Damavand Tokamak. The extraction system has the ability to extract a positive hydrogen ion beam with the current and voltage of 7A and 4.5 kV, respectively. In this paper, an ion source with optimized helicon plasma and optimized beam extraction system is developed using the COMSOL software. All parameters, including RF power, magnetic field, gas pressure, antenna length, and RF frequency, for the production of helicon plasma and ion beam extraction system with optimal geometry are investigated in the most effective way, in order to reduce the beam divergence and beam current increment. Finally, the helicon plasma with density of , electron temperature of 2.8eV and hydrogen beam extraction system consists of three Accel-Decel grid, each grid with 280 apertures of 3.5mm diameter, has been designed for neutral beam injection system of Damavand Tokamak. This ion production system has an extractor grid with very large transparency (60%) and the minimum single beamlet divergence of 27 mrad.