(Yicai Global) Dec. 4 -- The Chinese securities regulor will become a central figure in supervising the nation's bond market, according to a document signed by three Chinese government bodies.

The China Securities Regulatory Commission (CSRC) shall paly a central role in enforcing the law, while the central bank and the top economic planner will play a supporting role, according to a document jointly released by the three regulatory bodies,the official Xinhua News agency reported.

The CSRC is responsible for identifying illegal activity, including insider trading and manipulation in transactions of bonds on the interbank and exchange bond markets, and imposing punishment on violators.

The People's Bank of China and the National Development and Reform Commission support CSRC law enforcement, providing professional advice and helping discover evidence of violations.

The integration will improve the regulatory system and help prevent systemic risk, according to the document.

China is the world's third largest bond market, with outstanding bonds worth 83.8 trillion yuan (around 12 trillion U.S. dollars) as of the end of October.