Days after winning the Nobel peace prize, Pakistani teenager Malala Yousafzai told a gathering at the Forbes Under 30 summit of how she recently advised US President Barack Obama to spend money on education instead of drone attacks.

"The best way to fight terrorism," she told him, "is through education."

A drone attack may kill two or three terrorists but it will not kill terrorism. If the drones continue terrorism will spread, Malala said while adding that America should support democracy in Pakistan and help it become a developed country.

While not sharing the president's responses, the teenager noted that his answers are "always political."

She confessed to being most nervous at school after winning the Nobel, unlike when addressing the 1000-odd game changers at the Forbes meet or the United Nations, reports Forbes.

About the Nobel prize, she said, "It gives hope to many young children and many young people that their work is appreciated, and that what they are doing for the cause of education matters.

"Sometimes we think that we are children and that what we do will not have an impact. It shows that our work does have impact and it can bring about a great change."

Life for her was as normal as for any other child with fights with brothers and homework a fact of life, she said, adding that she would not have it any other way.

Malala has taken up the cause of educating girls after her own experience when growing up in Pakistan's Swat valley under the looming influence of the Taliban who 'shot' her to fame.