Moist Coconut Cake (With Coconut Milk and Glaze)

This coconut sponge cake is rich, moist, and full of coconut flavor; just like something your auntie would make for Easter lunch. Made with coconut milk and shredded coconut, it delivers that bold, tropical taste we love. It’s the kind of cake that feels right at home on your holiday dessert table or for a midday slice with tea.

When it comes to classic Caribbean bakes, coconut always has a seat at the table. Whether it’s in drops, fudge, or sweet bread, we know how to make most of that tropical flavor, and this coconut sponge cake is no exception.

This isn’t a dense cake like Jamaican Toto or a rum-soaked dessert. Instead, it has a soft crumb with a buttery, moist texture and shredded coconut baked right into the batter. The coconut milk gives it richness, while a simple glaze on top seals the deal.

Growing up, grabbing baked treats after Easter Sunday church service was a must. You’d find tables lined with coconut tart, sweet bread, coconut drops, and, if you were lucky, a slice of coconut cake. This recipe is my little nod to those moments.

Why you will love this recipe:

• Moist and buttery texture – This isn’t your average dry coconut cake. It has a soft crumb and rich flavor that makes each bite satisfying.
• Big coconut flavor – With coconut milk, coconut extract, and shredded coconut, every bite is rich with tropical goodness.
• Simple ingredients – No fancy tools or hard-to-find items. Just pantry staples with a Caribbean twist.
• Perfect for holidays or anytime – Whether it’s for Easter lunch or a midweek treat, this cake fits right in.
• That glaze! – The coconut glaze brings it all together with a sweet finish that soaks into the cake just right.

How to Make this Caribbean Coconut Cake

Ingredients for coconut cake

This cake uses everyday baking staples with a Caribbean twist—thanks to the coconut milk and shredded coconut. Nothing too fancy, just ingredients that create something soft, flavorful, and perfect for any celebration.

The base of the cake

This coconut sponge starts with a classic butter cake foundation. Softened butter and sugar are creamed together until light and fluffy, creating the base for a tender crumb. Eggs help bind everything and add richness to the final bake.

Coconut flavor throughout

We’re not holding back on the coconut. Coconut milk brings moisture and that distinct tropical flavor, while shredded or desiccated coconut adds texture in every bite. A little coconut extract enhances it even further, making sure the coconut shines from start to finish.

Dry ingredients for structure

All-purpose flour gives the cake its body, while baking powder lifts it up, and salt keeps the sweetness in check. Sifting the dry ingredients ensures a soft and even crumb.

Simple coconut glaze

To finish things off, a glaze made with coconut milk and powdered sugar is poured over the cooled cake. It’s sweet, smooth, and adds another layer of coconut flavor while sealing in moisture.

Instructions

Prep your oven and baking pan. Preheat your oven to 350°F (175°C). Grease and line a loaf or round cake pan so it’s ready when your batter is.

Sift the dry ingredients. In a bowl, sift the flour, then mix in the baking powder and salt. Set this aside.

Cream the butter and sugar: In a mixing bowl, cream the softened butter and sugar until pale. This helps give the cake a tender crumb and keeps it from feeling too heavy.

Add the eggs. Pour in the lightly beaten eggs and mix on low speed until just combined.  

Add coconut milk, extract, and flour. With the mixer still on low, alternate adding half the coconut milk and coconut extract with half of the flour mixture. Once combined, add the shredded coconut, followed by the remaining coconut milk and flour.

Pour and bake. Transfer the batter to your prepared cake pan. Smooth the top and place it in the oven. Bake for 50–55 minutes, checking with a toothpick around the 50-minute mark. It should come out clean or with a few moist crumbs.

Cool completely. Let the cake cool in the pan for 10–15 minutes, then transfer to a wire rack to cool fully before glazing.

8. Make and pour the glaze. Whisk together powdered sugar and coconut milk until smooth. Pour over the cooled cake and let it set slightly before slicing.

Tips for Success

• Use fresh shredded coconut for the best flavor.  I like to use freshly shredded coconut in the batter for a more tender crumb and better flavor. If that’s not available, desiccated coconut works too, but fresh really gives it that homemade island touch.
• Go easy with desiccated coconut in the glaze. Some brands of desiccated coconut can be quite hard or dry. If you’re using it as a topping, give it a quick pulse in a food processor to soften the texture and make it easier to chew.
• Don’t skip sifting the dry ingredients. Sifting the flour, baking powder, and salt helps create a lighter batter and reduces clumps in the final cake.
• Cream the butter and sugar well. Take your time here. This step traps air in the batter, which helps the cake rise and stay fluffy.
• Let the cake cool before glazing. Pouring glaze on a warm cake will cause it to run right off. Make sure the cake is fully cooled so the glaze sets properly.

Storage and Shelf Life

This coconut sponge cake holds up well for a few days, if it lasts that long.

• Room Temperature: Store the cake in an airtight container at room temperature for up to 3 days. Keep it away from direct sunlight or heat so the glaze doesn’t melt.
• Refrigerator: You can also store it in the fridge for up to 5 days. Just let it come to room temperature before serving so the texture softens up again.
• Freezing: To freeze, wrap slices or the whole cake (without glaze) tightly in plastic wrap and place in a freezer bag or an airtight container. It’ll keep for up to 2 months. Thaw overnight in the fridge, then glaze before serving.

Perfect pairings for this Coconut Sponge Cake

This coconut sponge cake is perfect on its own, but you can dress it up or pair it with other Caribbean favorites:

• Serve it with a scoop of coconut or soursop ice cream for a cool contrast.
• Add a few slices of fresh fruit like mango or pineapple on the side.
• Enjoy a slice with a hot cup of tea, coffee, or even a glass of sorrel for a real island moment.
• Include it in a dessert spread alongside coconut drops, sweet bread, or tambran balls for a full-on Caribbean sweet tooth fix.

More Caribbean Desserts to Try

If you love this coconut sponge cake, here are a few more island-style sweets to check out:

• Coconut Drops – A rustic, chewy coconut treat that’s a staple in Caribbean kitchens.
• Trinidad Sweet Bread – Packed with coconut, raisins, and spices—perfect for breakfast or dessert.
• Tambran Balls – Sweet, sour, and spicy—these tamarind treats hit every flavor note.
• Trini Coconut Fudge – A rich, hard fudge made with coconut milk and sugar, just like back in the day.

FAQs

Before You Go…

If you give this moist coconut cake a try, I’d love to hear how it turned out! Leave a comment below, rate the recipe, and don’t forget to tag me @thisbagogirl if you share it on social media. And if coconut’s your thing, be sure to check out the other Caribbean-inspired treats linked above.

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