Then, add the small tapioca pearls to the milk and water mixture.
Stir the mixture, close the instant pot with lid in sealing position and cook in high pressure for 10 minutes.
Once the cooking is done, wait for a natural pressure release.
Once the pressure is all released, carefully open the lid and stir the contents. The tapiocal pearls should be well cooked by this time.
Add the vanilla extract and mix with the mixture.
Now, let's make a cornstarch slurry to thicken the pudding.
To make the cornstarch slurry, mix the one tablespoon of cornstarch with about 2 to 3 tablespoons of cold milk or water. Make sure to mix well so there are no lumps formed in the cornstarch mixture.
Press saute and simmer the mixture, and add the prepared cornstarch mixture to the tapioca pearl pudding mixture. Stir well continuously as the mixture simmers, so no lumps are formed and the cornstarch mixture dissolves into the pudding, making it thicker. Keep in mind that the pudding will further thicken as it cools down so you do not need to thicken the pudding a lot, at this point.
Once the pudding reaches the desired consistency (it will further thicken as it cools down more!), add the sweetened condensed milk and stir well to combine with the pudding, press cancel button and you can unplug the instant pot.
It is a good idea to transfer the inner pot to a safe, cooler place so the pudding won't thicken further.
Allow the prepared tapioca pudding to cool down to room temperature, then transfer to refrigerator and chill the pudding.
Serve the pudding chilled for best results!You can add more flavors like cinnamon powder or top with fresh fruits like bananas, strawberries etc as you like!