China's bank regulator has ordered banks to tighten supervision in underwriting bonds issued by various companies, several sources who have knowledge of the latest regulatory move said on Friday.

The China Banking Regulatory Commission (CBRC) will require banks to set up special accounts for unsold bonds left over from underwriting and raise the risk management requirements for the leftovers, the sources said.

CBRC also said banks must not promise to pay capital or interest for bonds they underwrite, and must not invest in more than 30 percent of a bond they underwrite, the sources said.

The latest move comes as Chinese authorities tighten regulations of banks' businesses after the global financial crisis and coincides with the government's plans to rapidly develop China's corporate bond market, traders said.

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