The Dictator sees Charles and Cohen reunite after the success of Borat and Brüno, and according to Variety, Kingsley is believed to be the latest casting addition to the film.
Kingsley has already worked with Cohen on Martin Scorsese's new movie Hugo Cabret.
The Dictator tells the stories of both a lowly goat herder and a deposed foreign dictator who risks his life to stop his Middle Eastern country becoming a democracy.
Kingsley will portray one of Cohen's subjects, and may also be joined by The League star Jason Mantzoukas, who is said to be in talks for the project.
Earlier this week it was revealed that the likes of Anna Faris, Gillian Jacobs and Kristen Wiig are all under consideration for the film's female supporting role.
The Dictator is expected to hit cinemas on May 11, 2012.