  The ground state structural, electronic and magnetic properties of
multiferroic TbMn$_2$O$_5$ are investigated via first-principles calculations.
We show that the ferroelectricity in TbMn$_2$O$_5$ is driven by the
non-centrosymmetric magnetic ordering, without invoking the spin-orbit coupling
and non-collinear spins. The {\it intrinsic} electric polarization in this
compound is calculated to be 1187 $nC\cdot$ cm$^{-2}$, an order of magnitude
larger than previously thought.
