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As instructed from google I have put the analytics code in "<header></header>" which lies in the index template.

But now I am seeing many people talking about putting the code in footer. So, I am confused here where should I put the code so that it can bring max benefit?
If you put it in index, that is just a single page template, if you put it in footer, then you are using the code sitewide, so footer is what you want because you want site-wide analytics. This is a common sense approach.
(2019-02-06, 08:14 PM)Michael2014 Wrote: [ -> ]If you put it in index, that is just a single page template, if you put it in footer, then you are using the code sitewide, so footer is what you want because you want site-wide analytics. This is a common sense approach.

So, I should I add it in Footer Templates>Footer.

At the end of the script right?
I would suggest you to use the Google Analytics plugin, https://community.mybb.com/mods.php?action=view&pid=62.