Mainland Chinese students are reassessing their post-graduation plans in Hong Kong due to the high cost of living and perceived cultural barriers. Many are opting to return home for better financial prospects.

Weeks before mainland Chinese student Carol Chen graduated from Baptist University in Hong Kong in July, the 22-year-old did the math and weighed the cost of living in the city against returning home. Renting a room in the city would consume around half of the HK$20,000 (US$2,552) starting salary she expected as a junior data analyst. “If I go back to Shanghai, I will only need to worry about daily expenses,” said Chen, a maths and statistics graduate. Language barriers compounded the problem......