Into a small saucepan over medium-high heat, add coconut oil. When the oil is hot, add the red onion. Cook, stirring frequently for 2 minutes, until softened. Add the garlic and continue cooking an additional 30 seconds.

Add the coconut milk, Basmati rice, water, and salt. Gently stir just enough to combine. Bring mixture to a boil. Reduce heat to low and allow to simmer, covered, for 12 minutes, or until water is absorbed.

Remove from heat and let the rice stand, covered, for 10 minutes to firm up. Fluff rice with a fork and serve hot.