Reengineering banking: Moving beyond ambition to execution enabled by trusted AI

Banks are entering a new phase of transformation—one where ambition is no longer enough. After years of setting digital strategies and testing new technologies, leaders now face the harder task of turning priorities into measurable progress, particularly as the promise of achieving outcomes from advanced AI becomes a central boardroom discussion. The challenge is execution: modernizing with purpose while scaling innovation in ways that protect trust and resilience.

The 2026 CGI Voice of Our Clients (VOC), based on insights from 342 banking executives, shows a sector under pressure to deliver tangible business value in an increasingly complex operating environment. The next era of banking transformation will be defined by institutions that can digitally reengineer operations, scale trusted AI, and strengthen the foundations required to meet rising expectations from customers, regulators, and markets.

Across CGI’s conversations with banking executives, one message stands out: banks that modernize their foundations and execute with discipline will be best positioned to compete in increasingly real-time, interconnected, AI-enabled and ecosystem-based financial markets.

Following are key insights from our 2026 VOC research.

1. Growth must now be delivered with discipline

Technology and digital acceleration remain the dominant forces shaping banking, as cited by 81% of executives. Growth also remains the top business priority, with 72% of leaders focused on market expansion.

But the growth agenda has become more demanding. Banks are under pressure to expand while also improving operational efficiency and maintaining stronger control. Sixty-eight percent of executives cite cost and operational efficiency as a major priority, while 64% point to regulatory pressure, compliance, and governance. The result is a clear mandate: deliver growth with greater discipline.

2. The execution gap is now the core challenge

Banking continues to perform above the cross-industry average in producing results from digital strategies. Even so, only 47% of banking executives say their digital strategies are delivering expected outcomes.

Legacy complexity remains a major drag, with 46% citing legacy systems as a significant challenge. The issue is not lack of ambition. It’s the ability to translate strategy into measurable change across the operating core from technology platforms to customer journeys and risk controls.

3. AI value depends on disciplined scaling

AI is intensifying the need for digital reengineering in banking. Eighty-one percent of banks have implemented simple automation, and generative AI is moving quickly into implementation, with 37% reporting implementation is in progress.

Yet only 57% of banks actively quantify AI results. This suggests the next phase of AI value will depend less on experimentation and more on disciplined scaling. Banks will need clear ownership, trusted data, and strong governance to move AI from isolated use cases into measurable business outcomes.

4. Trusted data is the foundation for digital reengineering

Data is the foundation for trusted AI and digital banking modernization. While 63% of banking executives report having a holistic data strategy for the internal enterprise, only 37% report a global approach to internal data governance.

As banks embed AI deeper into operations, decisioning, compliance, and client engagement, data quality becomes central to trust. Stronger governance will be essential to creating value at scale while maintaining the control expected in banking.

What will drive the future of banking

The message is clear: banking leaders are moving from transformation ambitions to digital reengineering outcomes. The banks that lead will be those that modernize core foundations, strengthen resilience, and scale AI in ways that are measurable, trusted, and embedded into everyday operations.

To prepare for the future of banking, leaders are focusing on five priorities.

1. Modernize core banking systems for execution

   Legacy complexity continues to limit agility, increase cost, and slow transformation. Modernization should focus on the platforms and processes that unlock measurable value, reduce duplication, and improve time to market.

2. Scale AI with discipline

   AI must move from fragmented pilots into governed production. That requires business ownership, defined KPIs, secure data foundations, and appropriate human oversight. The goal isn’t simply more AI, but trusted AI embedded in the everyday work of banking.

3. Strengthen data governance foundations

   AI value depends on high-quality, well-governed data. Banks that treat data as a strategic asset will be better positioned to improve decisioning, reduce fraud, accelerate compliance, and deliver more personalized client experiences.

4.  Build operational resilience and trust by design

   Cybersecurity, third-party risk, compliance, and data sovereignty can no longer be handled as separate programs. They must be embedded into platform architecture, operating models, and partner ecosystems from the start.

5. Close the execution gap between strategy and delivery

   Banking leaders report relatively strong business-IT alignment, but agility remains constrained. The next phase requires sharper prioritization and clearer accountability so transformation can move from strategy into sustained delivery.

Digitally reengineering to drive growth—now and into the future

The leadership question for banks is no longer whether to modernize. It’s how to digitally re-engineer the operating core fast enough to remain resilient, competitive, and trusted.

By simplifying legacy environments, strengthening data and control foundations, and scaling AI where value can be measured, banks can drive growth in the near term. This requires focusing investment on the highest-value transformation priorities and sequencing delivery across the enterprise.

Over the long term, banking will become more intelligent, real time, and ecosystem connected. Modern platforms, interoperable data, and stronger partner integration will reshape how banks create value, manage risk, and serve customers with greater speed and trust.

At CGI, we help banks digitally reengineer across the enterprise—modernizing core systems, strengthening resilience, and scaling trusted AI to deliver measurable outcomes. Learn more about our banking and capital markets work. Also, reach out to me for additional insights from the 2026 CGI Voice of Our Clients banking research and watch our latest CGI industry foresights video for banking.