Nov. 14 (Bloomberg) -- India's benchmark stock index rose the most in three weeks, paced by Reliance Industries Ltd. and lenders, as global stocks rallied.

Lenders, including State Bank of India, jumped after a media report said state-run banks may receive the equivalent of $5 billion in fresh capital from the government.

State Bank, the nation's largest lender by assets, rose 50.45 rupees, or 2.2 percent, to 2,346.15, a record. Punjab National Bank Ltd., the fourth-largest lender by assets, rose 51.95 rupees, or 9.5 percent, to 601.35, a record. ICICI Bank Ltd., India's most valuable lender, gained 101.75 rupees, or 8.7 percent, at 1,277.9.

``Banking shares are relatively cheaply valued compared to the broader market based on price to book values,'' said Navneet Munot, who helps manage about $8 billion at Birla Sun Life Asset Management Co. in Mumbai. ``The momentum in the market is getting stronger and seeing the gains today, both overseas and local investors seem to have supported the rally.''

The Bombay Stock Exchange Sensitive Index, or Sensex, surged 893.58 points, or 4.7 percent, to 19,929.06 points, its biggest gain since Oct. 23. All 30 stocks on the index closed higher. Companies that advanced on the Bombay Stock Exchange stood at 2,024, compared with 764 that declined, according to data on its Web site. There were 313 stocks that hit 52-week highs compared with 21 shares that fell to 52-week lows on the BSE500 Index.

The S&P/CNX Nifty Index on the National Stock Exchange rose 242.5 points, or 4.3 percent, to 5,937.9. Nifty futures for November delivery gained 4.4 percent to 5,959.40.

Bharti Snaps Losses

Bharti Airtel Ltd., India's largest wireless carrier, rose 26.55 rupees, or 3.2 percent, to 859.65, snapping a six-day losing streak. Chairman Sunil Mittal said today margins won't be affected by the government's plan to introduce number portability.

New Delhi-based Bharti added 2.03 million mobile-phone users in October, boosting its wireless customer base to 50.9 million, according to an e-mailed statement from the Cellular Operators Association of India.

Fertilizer companies gained after the government said it plans to issue bonds worth 75 billion rupees ($1.91 billion) this month to them to compensate for selling fertilizers to farmers at below market prices. United Phosphorous Ltd., an Indian farm chemicals maker, rose 18.1 rupees, or 5.7 percent, to 334.65 rupees.

Infosys Technologies Ltd., the nation's second-largest software maker, led exporters higher after Wal-Mart Stores Inc.'s profit beat estimates, boosting the outlook for the U.S. economy, the biggest overseas sales market for Indian technology firms.

Infosys rose 78.85 rupees, or 4.8 percent, to 1,706.35. Larger rival Tata Consultancy Services Ltd. rallied 33.85 rupees, or 3.6 percent, to 982.85.

The following stocks rose. Stock symbols are in brackets:

DLF Ltd. (DLFU IN): India's biggest property developer by market value rose 21.5 rupees, or 2.4 percent, to 926.7. Columbia Asia Hospitals said it had formed an alliance with one of DLF's units.

Wipro Ltd. (WPRO IN) added 30.15 rupees, or 6.8 percent, to 471.2. The nation's third-largest computer-services provider said yesterday it was chasing orders worth as much as $875 million from Raytheon Co., the world's biggest missile maker. Wipro's Vice President Partha Sarathi Guha Patra made the comments in a phone interview.

Larsen & Toubro Ltd. (LT IN) advanced 123.25 rupees, or 2.8 percent, to 4,492.25. India's biggest engineering company signed an agreement with Raytheon, which aims to win subcontracts linked to India's plan to purchase 126 combat aircraft. Larsen is among five Indian entities that have tied up with Raytheon.

To contact the reporter on this story: Shailendra Bhatnagar in New Delhi at sbhatnagar3@bloomberg.net.

Last Updated: November 14, 2007 07:30 EST