In a pot, add water, sugar and agar agar powder together. Turn on medium heat, stir till sugar dissolved and add dried osmanthus flowers into liquid. Stir to boil under medium heat. Lower heat and continue to stir mixture for another minute. Remove osmanthus flowers with a sieve but reserve some for decoration.

Pour in the coconut milk, stir well and bring mixture to a boil again and off heat.

Scoop liquid mixture into moulds or serving cups (stir the liquid mixture before each pouring. This will makes equal thickness of the coconut milk after the jelly is set) leave to cool and chill for a few hours in refrigerator before serving. **Once set, you can see the coconut milk and osmanthus liquid separated into 2 layers of jelly