China's official business activity index expanded at a faster pace in July as stronger domestic and international demand boosted the world's second-largest economy. China's Official Manufacturing Purchasing Managers Index rose to 51.1 in July from 50.9 in June, the National Bureau of Statistics said Friday that the results beat forecasts and for the fifth straight month, China's observed enterprise activity exceeded 50, dividing expansion from reduction. The overall non-manufacturing index fell from 54.4 to 54.2 due to a slow recovery in the services sector, as reported MarketWatch. Manufacturing is doing better as the sub-indices grew at a faster pace in July, largely due to a significant improvement in new export orders. China's strong factory bounceback helped lift the economy to 3.2% gross domestic product growth in the second quarter, after shedding 6.8% in the first three months of the year. The Chinese leaders are now focusing on domestic supplies and supporting each other domestically. China said Monday that profits of its major industrial companies rose double-digit percentage points from a year earlier in June. China also announced an unexpected 0.5% increase in exports in June from a year earlier.