Bret McKenzie is still pinching himself over his Oscar nomination, The Muppets director James Bobin has revealed.

The Flight Of The Conchords star, who was chosen by his former Conchords director James to be the film's music supervisor, secured his first nod from the Academy for his original song, Man Or Muppet?

"I'm not sure Bret can believe it. Bret was asleep when the nominations were announced, he slept through his phone calls and was surprised," the filmmaker said.

"He has taken it in his stride, he's the most modest person I know," he added.

James will be glad to don a smart suit for the star-studded ceremony in Los Angeles on February 26.

"It's an event I have never been to before and I'm thrilled to be able to go, so I'm looking forward to it," he continued.

"These things are normally quite long, as I remember from my Emmys experience, but it's a fun thing to go and do. The odds are quite good - I can't remember a time when the chances of winning an Oscar is 50-50 so I'm very pleased about that.

Man Or Muppet? is up against Sergio Mendes' Real In Rio from Rio in the best original song category.

Bret has described the nomination as an honour, telling The Huffington Post: "It's very mind-blowing. It feels like one of those 'I made it' moments. After you go to the Oscars, what else do you do? That's where Hollywood stops."