U.S. Midwest economic growth in March was the highest level since 1995, according to data from the latest Midwest Economy Index released Monday by the Federal Reserve Bank of Chicago.

The Chicago Fed Midwest Economy Index increased to 0.82 in March, up from 0.61 in February. As a reading of zero indicates growth at the region's historical average, March's positive posting represented the fifth consecutive month that Midwest economic growth achieved an above average growth reading.

The index measures growth in manufacturing, construction and mining, services, and consumer spending in the Chicago Fed District states of Illinois, Indiana, Iowa, Michigan and Wisconsin.

The relative Midwest Economy Index, which measures Midwest growth against national growth conditions, also posted a positive reading of 0.16 in March. That was down from the 0.27 reading in February, indicating that Midwest growth in March was growing more in line with its average historical growth relative to the U.S. national economy.

Strength in the Midwest manufacturing sector was the primary reason behind the Midwest Economic Index's March success. Manufacturing's contribution to the index increased from 0.49 in February to 0.65 in March, as manufacturing pace increased in every Midwestern state except Wisconsin.

Readings for Midwest construction and mining, consumer spending, and the service sectors also all gained in March.

However, unlike other sectors, construction and mining still posted a negative index value, indicating that Midwest growth in construction and mining still remains below the historical trend. The construction and mining sector arrived at -0.09 in March, an improvement from contraction of -0.11 percent in February.

Of the five states in the Chicago Fed district, Iowa saw the strongest economic growth in March, with 3.1 percent. Compared to U.S. GDP growth of 1.7 percent in March, all of the District states were above the national average with the exception of Illinois, which grew at 1.6 percent.