The Purchasing Managers Index (PMI) of China's non-manufacturing sector rose for a second straight month to 62.5 percent in April, the China Federation of Logistics and Purchasing (CFLP) said Tuesday.

The rise indicates non-manufacturing businesses are maintaining healthy growth, the CFLP said in an online statement.

A reading above 50 percent indicates economic expansion. One below 50 percent indicates contraction. The figure has stayed above the boom-or-bust line since March 2010 except this February due to the Chinese Lunar New Year holiday.

Cai Jin, vice president of CFLP, attributed the PMI increase to the rapid growth of the construction sector and activity in the consumer services sector.

The boom in both sectors indicated they were playing a greater role in boosting domestic demand, he added.

Almost all major sub-indices rose with the index for new export orders up 5.4 percentage points from March to 55.7 percent in April while that for new orders rose 2.8 percentage points to settle at 58.3 percent.

The new order index of the real estate sector stood at 45.3 percent, staying below the boom-or-bust line for a seventh consecutive month. This indicated slack demand in the property market, according to the statement.

Prices rose in April with the price index for charges up 3.3 percentage points to 55 percent.

Cai noted that the price rises in April indicated that cost and liquidity pressures are increasing, which may restrict business growth in the future.

China's manufacturing expanded at a slower pace in April, with the manufacturing sector PMI down to 52.9 percent, suggesting a possible economic slowdown which would decrease inflationary pressures, said the CFLP on Sunday.

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