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Heat some oil in a pan and fry the paneer cubes until its sides turn brown. Fry them in batches so that you get an even cook and don’t over crowd the pan. Keep aside.
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Into the same pan, add a little oil (if necessary) and saute the onions with a little salt on a medium flame until it starts turning translucent. Add ginger, garlic, cashews, and saute for another 2-3 minutes.
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Now add the chopped tomatoes and saute until it is soft. Remove the pan from the heat and allow it to cool down. Transfer the contents of the pan to a grinder and grind into a smooth paste.
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Into the same pan, add a little oil and saute spices until fragnant – jeera, cinnamon, and bay leaf. Add the above grinded paste and saute for another 2 minutes on a low flame.
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Add chili powder, turmeric powder, coriander powder, garam masala, sugar, and stir fry for a minute to blend well. Add water and salt, mix well, place the lid and allow the gravy to simmer for 5 minutes. You can manage the gravy consistency per your choice at this time.
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The last step is to add paneer, thawed peas, crushed fenugreek leaves, and mix gently. Cook for another 3-4 minutes on a low flame.
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Remove the dish from the heat and garnish with cilantro leaves. Serve hot with naan, rice or roti.