Here is a simplistic C implementation. I've just handled the 'M/D/I/P' operators with the example given at http://www.mathworks.co.jp/help/toolbox/bioinfo/ref/cigar2align.html

#include <stdio.h>
#include <stdlib.h>
#include <string.h>
#include <ctype.h>

int main(int argc,char** argv)
    {
    int i;
    for(i=1;i+1< argc;i+=2)
        {
        char* seq=argv[i];
        size_t pos=0UL;
        char* c=argv[i+1];
        while(*c!=0)
            {
            char* p2;
            if(!isdigit(*c))
                {
                fprintf(stderr,"bad cigar string: %s\n",argv[i+1]);
                return EXIT_FAILURE;
                }
            int n=strtol(c,&p2,10);
            if(n<=0)
                {
                fprintf(stderr,"bad cigar string: %s\n",argv[i+1]);
                return EXIT_FAILURE;
                }
            switch(*p2)
                {
                case 'M':
                    {
                    while(n>0)
                        {
                        fputc(seq[pos++],stdout);
                        --n;
                        }
                    break;
                    }
                case 'D':
                    {
                    while(n>0)
                        {
                        fputc('-',stdout);
                        --n;
                        }
                    break;
                    }
                case 'I':
                case 'P':
                    {
                    /* ignore */
                    break;
                    }
              default:
                {
                fprintf(stderr,"unsupported operator %c\n",*p2);
                return EXIT_FAILURE;
                }
                }
            c=p2+1;
            }
        fputc('\n',stdout);
        }
    return EXIT_SUCCESS;
    }

Compilation:

gcc -Wall -o cigar2string cigar2string.c

test:

$ ./cigar2string  ACGACTGC 3M1D1M1I3M ACGTTGC 4M1D1P3M AGGTATC 5M1P1M1D1M
ACG-ACTG
ACGT-TGC
AGGTAT-C

I have had a similar question referring to percent identity. In the end I found it easier to recalculate the alignments using Smith-Waterman in R for small numbers of sequences.

If you output the alignments instead of calculating the percent identity that should work. I'm not saying that it doesn't work using the CIGAR string but it was just simpler for me to code it that way.