China’s financial regulators are turning their attention to the country’s 63 trillion yuan ($9.1 trillion) bond market in their latest efforts to clean up shady practices that could threaten the stability of the financial system. Spurred by the ballooning leverage of financial institutions and a scandal that sent the bond market into a panic in December, the central bank, along with the three commissions overseeing banking, securities and insurance, are working together on the rules that will be issued soon, sources closed to the watchdogs told Caixin. With the government opening the doors wider to foreign institutional investors, it has also recognized the need to streamline one of the most fragmented areas of China’s capital markets. Bond issuance and bond trading are currently overseen by five state agencies, including the central bank.