In a large pot, heat the olive oil over medium heat. Add the diced onion and sauté for about 5 minutes, until translucent.
Stir in the minced garlic, dried thyme, and smoked paprika. Cook for an additional 1-2 minutes until fragrant.
Add the rinsed lentils and vegetable broth to the pot. Bring to a boil, then reduce heat to low and cover. Simmer for 25-30 minutes, or until the lentils are tender.
Once the lentils are cooked, stir in the coconut milk and season with salt and pepper to taste. Let it simmer for another 5 minutes to heat through.
Serve warm, garnished with fresh parsley.