The concept of demonetization and its contribution to economic growth has become one of the most attractive topics for discussion in all political, academic and other decision-making forums of the current times. The critics of demonetization are absolutely right about the adverse impact of the policy, considering the short-term period. The real impact of demonetization, however, must be weighed in the long-run and not in the short-run. Considering the negative impact of demonetization on the economy is only nominal and short-term, it is necessary to attach statistical substantiation to vouchsafe that the long-term impact of demonetization on the growth of the economy is increasing and sustainable. It is in this context the current research holds its significance. Research is conducted to assess the “SIR” impact of demonetization on Indian Economy. “SIR” stands for Sustainability, Innovation and Rapidity. Accordingly the research is divided into three parts as: “The “SIR” impact of demonetization - statistical evidence testifying the contribution of demonetization to long-term sustainable economic growth in India”, “The “SIR” impact of demonetization-Measure of Innovation”, “The “SIR” impact of demonetization-Measure of Rapidity of Economic Growth”. While the first part of the work is presented in our last research paper at the International conference on “Recent trends in Technology and its impact on the economy of India”, conducted in Punjab on 24th, October 2017, the present paper describes how demonetization has contributed to innovation in the country, using Balanced Score Card technique. The results of the study clearly indicated that demonetization has promoted innovation by 46% within less than 10 months period making the country a hot bed for innovation.