Combine rice with the coconut milk, water, salt, sugar and cinnamon stick in a large saucepan with a tight-fitting lid.
Bring to the boil; reduce the heat to a simmer and cover. Cook until the liquid is absorbed and the rice is tender, about 25 minutes.
Remove cinnamon stick to serve.
Omit or reduce the sugar if you fear the rice will be too sweet. You could also add additional aromatics to the rice mixture while simmering, such as a whole clove, one or two whole cardamom pods, and/or a bay leaf.