Preheat your oven to 350°F (180°C) and prepare a 9x5-inch ungreased loaf pan.

In a medium saucepan, melt sugar over medium heat until it turns amber, then pour into the bottom of the loaf pan.

In a large mixing bowl, combine sweetened condensed milk, coconut milk, eggs, vanilla extract, and unsweetened shredded coconut. Whisk until smooth.

Place the loaf pan in a larger baking dish and add hot water until it reaches about 1/4 up the sides. Bake for 50-55 minutes until golden.

Allow the flan to cool to room temperature on a wire rack, then refrigerate for at least 3 hours.

Run a knife around the edges, invert onto a plate, and garnish with shredded coconut.