Heat some water until it’s hot, but not boiling.
Add the fresh green peas to the hot water and cover the pot. Let it sit for a few minutes to soften.
In a blender, combine the chopped onions, tomatoes, garlic cloves, ginger, green chillies, cashew nuts, and coriander leaves.
Blend these ingredients into a fine paste. No water is needed, as the tomatoes provide enough moisture.
Heat a little oil in a pan.
Add the paneer cubes and fry them lightly.
Once they are slightly golden, remove them from the pan and set them aside.
In the same pan, add a bit more oil and heat it up.
Add cumin seeds and let them sizzle.
Add the blended paste to the pan and saute it on medium heat until the oil starts to separate from the masala (about 2–3 minutes).
Add all the powdered spices: red chilli powder, garam masala, cumin powder, turmeric, coriander powder, and salt.
Mix everything well and continue to cook on medium heat until the mixture becomes dry and well-cooked.
Add a little water to the pan to create the gravy. The amount of water depends on how thick you want the gravy to be.
Mix well, cover the pan with a lid, and let it simmer on low heat for 5–7 minutes until the masala is thoroughly cooked.
Add the softened peas and the fried paneer cubes to the gravy.
Mix everything gently.
Cover the pan again and let it cook on low heat for another 10 minutes.
Garnish the matar paneer with fresh coriander leaves.
Serve it hot with your choice of bread (like roti or naan) or rice.