A key index of services activity in the country jumped to a more than a 11-year high as rising demand overcame the pressure on prices caused by higher input costs.

The seasonally adjusted S&P Global India Services PMI Business Activity Index rose to 59.2 in June from 58.9 in May — the highest since April 2011.The services sector witnessed an expansion in output for the eleventh straight month.

Demand conditions improved as the economy yanks itself out of the torpor of the Covid-19 pandemic, although cost pressures in the service economy remained stubbornly high, the survey said on Tuesday.

In Purchasing Managers’ Index (PMI) parlance, a print above 50 means expansion while a score below 50 denotes contraction.

“Demand for services improved to the greatest extent since February 2011, supporting a robust economic expansion over the first quarter of the fiscal and setting the scene for another substantial upturn next month,” said Pollyanna De Lima, economics associate director at S&P Global Market Intelligence.