Paneer lababdar is a rich Delhi-style vegetarian curry with a smooth tomato-cashew gravy and a hint of fenugreek. This high protein vegetarian option is creamy, satisfying, and great for family dinners.
Heat 1 tbsp butter in a pan over medium heat. Sauté onions, ginger, and garlic for 4–5 minutes until translucent but not browned.
Add tomatoes and cashews to the pan. Cook for 7–8 minutes on medium heat, stirring occasionally, until tomatoes are soft and moisture reduces.
Allow the tomato mixture to cool. Transfer to a blender and blend until completely smooth.
Return the puree to the pan. Add turmeric, red chili powder, salt, sugar, and half of the cream. Cook on low heat for 10 minutes, stirring occasionally, to thicken.
Add paneer cubes and remaining butter. Stir gently, making sure not to break the paneer, and cook for 3 minutes on low heat.
Sprinkle garam masala and kasuri methi. Pour in the rest of the cream and simmer for another 2 minutes (do not boil) to finish the curry.
Garnish with chopped cilantro. Serve hot with naan or rice.