The level of the buffer depends on how systemic risks develop in the financial system. This is because the countercyclical buffer is intended to be used in precisely those stress phases when there is a risk that credit supply could be tightened. Any required adjustment is contingent on the financial cycle, not the economic cycle. Macroprudential policy is not economic policy!
Releasing buffers prematurely could weaken banks’ resilience if distributions subsequently go up. Should loans continue to rise and vulnerabilities increase, an even greater degree of resilience would be required. If, conversely, extremely adverse developments occur, supervisors are free to release the macroprudential buffers at any time.