In a medium bowl, soak rice for 20 minutes in enough water to cover. Drain and place in a heavy 3 quart saucepan. Add coconut milk, whole milk and sugar and bring mixture to a boil. Reduce heat and simmer, uncovered, for 25 minutes or until thickened, stirring occasionally. (Mixture will thicken as it cools).
Remove from heat and add lime zest. Serve at Room temperature or chilled, garnished with toasted coconut.