Heat two tablespoons of oil in a pan and add cumin seeds. Add ginger garlic and give a proper stir.
Add sliced onions and cashews and saute for a while. Add chopped tomatoes and saute for 5-6 minutes. Let it cook properly.
Turn off the heat and let the mixture cool down. Add the cooled mixture to the grinder and make a smooth paste. (Use little water if necessary)
Heat a tablespoon of oil and add pinch of sugar and red chilli powder. Add the grinded paste to the pan and start stiring.
Add garam masala, turmeric powder,and red chili powder. Cook the mixture until everything is well mixed. This procedure may take 5-6 minutes. Add pinch of cinnamon powder, clove powder, and kasuri methi.
Add water to make the gravy smooth. Add paneer cubes and let it cook for a while.
Add fresh cream and stir. Turn the heat to simmer. Put the lid on and simmer it for 10 minutes.
Serve hot with roti or naan.
Notes:
Cinnamon powder and clove powder are optional. You can exclude completely or you can add a small cinnamon stick and 2-3 cloves with cumin seeds.