Abstract: In this era of energy crisis, the power system operators are very much driven to minimize the overall system loss and generation cost. Maximization of network load-ability without compromising the system stability has become a major concern for them. Introduction of FACTS technology can help a system to achieve these goals without building new transmission lines that is both expensive and time consuming. However, the new installation of FACTS in the system has to be optimal in terms of its type, location and size. This paper seeks to present a genetic algorithm based framework that can optimize a system having FACTS devices with an objective of improved economic dispatch. The IEEE 14 & 30 bus systems are taken as illustrative examples to validate the effectiveness of proposed method.