Motivated by the discovery of multiferroicity in the geometrically frustrated triangular antiferromagnet CuCrO$_2$ below its Neel temperature $T_N$, we investigate its magnetic and ferroelectric properties using ab initio calculations and Monte Carlo simulations. Exchange interactions up to the third nearest neighbors in the $ab$ plane, inter-layer interaction and single ion anisotropy constants in CuCrO$_2$ are estimated by series of density functional theory calculations. In particular, our results evidence a hard axis along the [110] direction due to the lattice distortion that takes place along this direction below $T_N$. Our Monte Carlo simulations indicate that the system possesses a Neel temperature $T_Napprox27$ K very close to the ones reported experimentally ($T_N = 24-26$ K). Also we show that the ground state is a proper-screw magnetic configuration with an incommensurate propagation vector pointing along the [110] direction. Moreover, our work reports the emergence of spin helicity below $T_N$ which leads to ferroelectricity in the extended inverse Dzyaloshinskii-Moriya model. We confirm the electric control of spin helicity by simulating $P$-$E$ hysteresis loops at various temperatures.
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