In 2011, the local government expenditures of Shanghai Municipality amount to RMB 391.49 billion, 18.5% up from 2010. Among the major expenditure items, expenditure on education increases by 31.6%, expenditure on public health increases by 18.7%, expenditure on culture, sports and media grows by 25.1%, expenditure on urban and rural community affairs increases by 21.8%, and expenditure on the housing program increases by 57.4%. 

The government expenditures of Shanghai Municipality have been focused on Five Key Targets: First, innovation. Investment in science and technology, education, and talent development have been increased for the aim of increasing Shanghai's capacity for independent innovation, driving the growth of small and medium-sized enterprises, increasing the power and influence of talents of all sectors, and therefore accelerating the transformation of Shanghai into an innovation-driven city. Second, economic and industrial restructuring. Expenditures have been guaranteed on industrial development, domestic demand stimulation, energy efficiency and emissions reduction, and environment conservation aiming to support the growth of strategic emerging industries, develop as soon as possible a service-oriented industrial structure, and therefore turn Shanghai into an energy-efficient and environment-friendly metropolis. Third, improvement of the people's livelihood and social progress. Focus has rested on employment, social security, public health, housing, transportation, culture and public security, and the final aim is to resolve legacy problems and promote social progress by uplifting the people's life quality. Fourth, urban and rural coordination. Focusing on the development of new suburban towns, Shanghai has endeavored to improve its urban and rural coordination and optimize the town layout and composition within its municipal territory. Investment has been made to dissolve the left-over urban-rural duality, and achieve urban-rural integration and balanced development. Last, urban administration and safe operation. Shanghai has guaranteed investment in the development and routine maintenance of its infrastructure system, bottleneck resolution, comprehensive management, operation and emergency response to ensure the normal running of the city and steadily improve the cityscape.