In a wok add cooking oil add whole spices (cinnamon stick, garlic,ginger, red and green chilli, black pepper, cumin seeds, bay leaf) and saute them for 30seconds. Now add chopped onion and cook them at medium flame till they turn golden brown in color.

Now add chopped tomato and kasoori methi and saute them till tomato turns soft at medium flame. Now add turmeric powder, salt as per taste, garam masala and cashews and mix well and cook for 1 minute.

Now turn off the flame and take the mixture out and let it cool. Once it cools, put it in mixer jar and grind to a paste.

Now in same wok add butter and this paste and 1/4th cup of water to mix paste well and cook it at medium flame for 4-5 minutes.

Once you find it's consistency according to you then add diced paneer to it and cook for 2 minutes at medium flame.

Matar paneer in butter masala is ready to serve hot. For garnish add coriander leaves.