For the onion paste Combine all the ingredients in a broad non-stick pan along with 1 cup of water and boil for 10 minutes.

Cool and blend in a mixer to a smooth paste. Keep aside.

Blend the deep-fried onions in a mixer till smooth. Keep aside.

Heat the oil in a non-stick pan, add the onion paste and cook on a medium flame for 2 minutes, while stirring occasionally.

Add the chilli powder and garam masala, mix well and cook again for 1 minute.

Add the curds, mix well and cook on a slow flame for 1 minute, while stirring continuously.

Add the deep-fried onion paste, salt and ½ cup of water, mix well and cook on a medium flame for 2 minutes, while stirring occasionally.

Just before serving, place the paneer cubes in the gravy, mix gently and cook on a medium flame for 1 to 2 minutes.

Serve hot garnished with coriander.