CORRECTED-Low global yields, short memories propel frontier debt revival

miércoles 18 de junio de 2014 06:19 GYT

(Corrects spelling of Salman Ahmed in para 24)

* Investors seek higher yields in frontier debt markets

* Buyers flock to debut Kenya dollar bond despite attacks

* Developed economy yields have risen less than some hoped

* Market seems to have short memory after past setbacks

By Carolyn Cohn

LONDON, June 17 (Reuters) - Investors are returning to the riskier, less developed bond markets of Africa and other frontier economies, burying memories of past setbacks and plunging in after global yields failed to rise as much as expected.

Ignoring attacks by Somali-linked Islamic militants in a Kenyan coastal town which killed at least 50 people, they flocked to the country's debut dollar bond this week,

The $2 billion issue - sub-Saharan Africa's largest dollar frontier market bond - was seven years in the making but investors said the timing was right for the junk-rated sovereign borrower.   Continuación...