Shanghai's city view. [Photo/IC]

Shanghai's economy grew last year despite the COVID-19 pandemic, the city's mayor said, adding that it plans to strengthen its role in global resource allocation and innovation in the next five years.

The city's GDP grew by 1.7 percent last year, Mayor Gong Zheng said in the municipal government work report at the annual session of the municipal people's congress, which opened on Sunday.

"Although hampered by COVID-19 and global economic recession, Shanghai overcame difficulties and took concrete measures to push the economy back on track from a 6.7 percent fall in the first quarter," Gong said.

Shanghai expects GDP growth of more than 6 percent this year and will keep the urban unemployment rate at no more than 5 percent, Gong said.

He added that the municipal government will ensure Shanghai is a safe city through strict inspections of people and goods and swift management of any public health emergencies.

In the past five years, the city's GDP has grown from 2.69 trillion yuan ($415 billion) to 3.87 trillion yuan, with per capita GDP exceeding $23,000 and residents' average disposable income reaching 72,000 yuan.

Shanghai has also greatly improved its business environment, with 236 multinational companies setting up regional headquarters in the city over the past five years, bringing the total to 771.