Preheat oven to 180 degrees C. Grease 12 muffin cups or line cups with paper muffin liners.
In a large bowl whisk together flour, baking powder, salt and nutmeg. In a separate bowl cream together 1/2 cup sugar and copha. Beat in egg. Stir flour mixture into copha mixture alternately with milk. Beat well. Spoon batter into prepared muffin cups.
Bake in preheated oven for 20 to 25 minutes. While muffins are baking combine 1/2 cup sugar and 1 teaspoon cinnamon.
Remove muffins from oven and muffin pan. Immediately dip the tops of the muffins into the melted margarine then into the sugar/cinnamon mixture. Repeat with each muffin until all muffin tops are covered. Serve warm.