Go Back
+ servings
paneer capsicum masala recipe
Print Recipe
5 from 5 votes

Paneer Capsicum Recipe

Paneer capsicum is an easy to make delicious paneer curry with crunchy bell pepper or capsicum and rich cottage cheese. It is a simpler version of kadai paneer that you can make in 20 minutes. Vegetarian and gluten free
Prep Time10 mins
Cook Time20 mins
Total Time30 mins
Course: Side Dish
Cuisine: Indian
Keyword: paneer capsicum
Servings: 3
Calories: 346kcal
Author: Harini


  • 1 cup paneer cubed
  • `1 cup bell pepper cubed
  • 3/4 cup onion chopped fine
  • 2 cups tomatoes finely chopped
  • 15 cashew nuts
  • 1 teaspoon chilli powder
  • 1 teaspoon garam masala powder
  • 1 teaspoon coriander powder
  • 1/2 teaspoon turmeric powder
  • Salt
  • Kasuri methi
  • 3 teaspoons oil


  • Soak 15 cashew nuts in water for 20 minutes. Grind to a smooth paste. Chop onions and tomatoes. Cube the paneer and green bell pepper and set aside.
    cashews soaked in warm water
  • Heat 3 teaspoons oil in a kadai and temper with cumin. Add onions and saute well.
    Add the tomato and saute till cooked and mushy. Add the capsicum pieces and saute for 3-5 minutes. I have used only green pepper but you can also use colored ones for this sabzi.
  • Add spice powders and mix well- 1/2 teaspoon garam masala powder, 1 teaspoon red chilli powder, 1/2 teaspoon turmeric powder
  • Add 1 cup of water and salt. Bring to a boil. Add the cashew paste and mix well. cook till the gravy thickens.
  • Add the cubed paneer and continue to cook till it reaches gravy consistency.
  • Garnish the paneer gravy with crushed kasuri methi and chopped coriander leaves.  Serve paneer capsicum masala hot with rice or flat breads.


1.You can use butter instead of oil
2.You can reduce the number of cashews and use 1 teaspoon cornflour mixed with 1/8 cup water to thicken the gravy
3.Instead of garam masala you can use pav bhaji masala,chole masala for a different flavor.


Serving: 3g | Calories: 346kcal | Carbohydrates: 15g | Protein: 14g | Fat: 27g | Saturated Fat: 12g | Trans Fat: 1g | Cholesterol: 50mg | Sodium: 39mg | Potassium: 471mg | Fiber: 3g | Sugar: 7g | Vitamin A: 2583IU | Vitamin C: 80mg | Calcium: 389mg | Iron: 1mg