The Purchasing Managers' Index (PMI) for China's non-manufacturing sector rose to 60.1 percent in July, up 2.7 percentage points from the previous month, the China Federation of Logistics and Purchasing (CFLP) said here Tuesday.

The non-manufacturing PMI includes a package of indices to measure the non-manufacturing sector's performance. A reading above 50 percent indicates economic expansion, while one below 50 percent indicates contraction.

The July rise in the index came after two successive monthly drops and was the fifth straight month the reading was above 50 percent.