Cook the base: Heat 1 tablespoon of oil and 1 teaspoon of butter in a pan. Add the bay leaf, cinnamon, cloves, and cardamom. Add chopped onions, ginger, and garlic, and sauté until soft. Add tomatoes and cashews with 1 cup of water, cover, and cook for 10–15 minutes until mushy.

Blend the gravy: Remove whole spices like the bay leaf, let the mixture cool, and blend it into a silky smooth paste

Make the masala: Melt the remaining butter in the same pan on low heat. Add Kashmiri red chili powder, then pour in the blended tomato-onion paste

Simmer: Add ½ cup water, salt, sugar, and garam masala. Simmer the gravy for 5–7 minutes until glossy.

Add paneer & cream: Crush the kasuri methi between your palms and stir it into the gravy along with the heavy cream and paneer cubes. Cook for 2 to 3 minutes on low heat, then turn off. Garnish with extra cream and chopped coriander leaves.