The pace bowler has taken 309 Test scalps in 71 appearances with an impressive average.
The Australian chief selector the selector has stated that pace spearhead Cummins will be a central figure in this winter's England-Australia contest.
Speculation had been growing that the 32-year-old might sit out due to a stress fracture in his back that remained unresolved.
Initial reports from the squad suggested no final decision had been made regarding whether he would play, with the Test matches kicking off on November 21 in the WACA.
Bailey expressed that his recovery is on track and felt positive about the likelihood of taking part.
"We're aware that the clock is ticking and various factors around that, not just the back issue, but additional elements," the selector added.
"The outlook is good. [We are] really confident that he's going to play a key capacity. Hopefully it's the first Test. Otherwise, then we'll pick it up."
Previous Setbacks
The captain missed the white-ball matches against both Asian and Trans-Tasman rivals recently after medical tests showed a lower back issue.
There is a track record of recurring issues, with recurrences in several earlier campaigns forcing him out of several home seasons in a short span.
He emphasized he would be bold in recovery efforts in his comeback strategy to make the squad for the contest.
Bailey noted that he did not know if Cummins had begun bowling as part of his recovery but admitted it was "becoming urgent" for him to be fit for the opener.
Alternative Arrangements
Should Cummins not be fit, veteran batsman Smith will take over the captaincy.
All-rounder Cameron Green was withdrawn recently from the national team for their limited-overs matches against the subcontinent side as a preventive step because of discomfort in his torso.
Bailey described it as a "slight concern and mentioned that he'll feature in the domestic first-class competition, so will be "in a good place to resume bowling."
"Extensive planning has gone into building out the plan for him to participate for the first Test as an batting and bowling option," he elaborated.
"Originally, he'd only feature in the initial matches regardless. How he handles the bat in limited-overs, should it hinder progress for another day, the choice was made to adopt a safer strategy."
Match Calendar
Australia vs England: The Ashes
Spanning from late 2025 to early 2026