Soak the rice in water for 25 minutes. Drain. Add the drained rice to a medium pot. In a 2-4 cup capacity wet measuring cup, pour in the can of coconut milk, and then add water until you hit 2 cups of liquid total. Add to the pot, along with the sugar and salt.
Put the pan on the stove and bring to a boil. Once boiling, immediately stir, cover, and reduce the heat to low. Cook until all the liquid has been absorbed, about 25 minutes. Remove from heat, fluff the rice with a fork, and keep covered until ready to serve. Garnish with toasted coconut flakes, if using.