KUALA LUMPUR Prime Minister Mahathir Mohamad said Friday strong exports posted for March will enhance Malaysia's growth and that the upturn in global demand suggests the U.S. and world economies are recovering. "It (the March trade data) will contribute to the growth of the first quarter GDP (gross domestic product)," Mahathir told a press conference. "More importantly, it means the world economy is recovering, particularly the U.S." Mahathir, who is also finance minister, said demand for semiconductors was stronger, noting that Silterra -- maker of silicon wafers -- was increasing its investments in Malaysia. He did not elaborate. "The turnaround in the U.S. economy and other countries will help our economy," Mahathir said. He declined to say what the first quarter growth would likely be, saying: "I am a very cautious man." Malaysia's trade surplus soared 34.2 percent in March from the month before, boosted by electrical and electronic products, government statistics showed recently. Malaysia posted a surplus of 5.1 billion ringgit ($1.3 billion) in March from 3.8 billion ringgit in February, marking the 53rd consecutive monthly trade surplus since November 1997, AFP quoted the International Trade and Industry Ministry as saying in a statement. The U.S., Singapore, Japan, China and Hong Kong were the top five export destinations, jointly accounting for 59.5 percent of total exports in March. Electrical and electronic products contributed 79.8 percent of Malaysia's exports to the United States, which rose by 34.6 percent after a sharp decline of 12 percent in January. Malaysia posted a trade surplus of 13.3 billion ringgit for the first quarter of 2002, with total exports standing at 82.5 billion ringgit and imports at 69.2 billion. Last year, Malaysia's trade surplus dipped 13.1 percent to 53.73 billion ringgit due to the effects of the U.S. recession. Mahathir previously predicted the economy would grow three percent this year, down from an earlier official forecast of four to five percent expansion. The premier said the economy was likely to have grown 0.5-1.0 percent in 2001, down from an earlier government projection of 1.0-2.0 percent.