This would be imposed when, in the view of national authorities, excess aggregate credit growth is judged to be associated with a build-up of system-wide risk. The countercyclical buffer would extend the conservation buffer range during such periods of excess credit growth.
It is up to the banking system today, and to a great extent also up to the Bank of Israel, to prepare itself to confront the new targets it faces in a proper manner: At the top of the list I would put Basel II.