In this paper numerical experiments are conducted to investigate the effect of geosynthetic reinforced soil above a tunnel on stability of system. A series two dimensional finite element analyses under plane strain condition was performed to study stability of soil-geosynthetic-tunnel system. The effectiveness of geosynthetic reinforced soil above a tunnel is affected by many factors such as depth of single layer, tensile stiffness and number of reinforcement layers. In this paper, a systematic parametric study was conducted to study effect of these parameters on improving the stability of tunnel headings and reducing ground movements in sand. Based on the results of the study, the use of this system reduces the settlements at the tunnel heading and ground surface. It can be concluded that when a single layer of reinforcement is used, there is an optimum depth at which settlements are maximum. Settlements reduce with increase in axial rigidity (E.A) of reinforcement and stability of the tunnel face is improved too. Also settlements reduce with increase in number of reinforcement layers but there is an optimum value for number of reinforcement which increase more than this certain value has not significant effect on reduction of settlements.