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Gather the ingredients.
Place rice in the rice cooker. Add the water, coconut milk, salt, and shredded coconut. Stir well; use a plastic or wooden utensil to avoid scraping off the nonstick surface. Cover and set to cook.
Once your rice cooker switches to "warm" mode, allow another 8 to 10 minutes for the rice to finish steaming. This will ensure your coconut rice is fully cooked and pleasantly sticky.
Gently fluff with chopsticks before serving. Some of the shredded coconut may have risen to the surface; just stir it back into the rice. Taste it for salt, adding a little more if needed.
Serve with Thai, Chinese, or Indian dishes of your choice. Enjoy.