In a pan with medium heat, pour oil and add cashew nuts and green chili. Saute until the chilies turn aromatic
Add the spinach leaves and saute until it wilts
Now transfer the spinach mixture into a jar and blend until it turns into a smooth paste. Reserve this spinach paste for later use
In a pan with medium heat, add butter and allow it to melt. Add the bay leaves, cinnamon sticks, cloves, cardamom, and cumin seeds. Saute until everything turns aromatic
Add the onions and saute until it turns soft and caramelized
Now add the ginger-garlic paste, Kashmiri chili powder, turmeric powder, garam masala, coriander powder, salt, and saute until everything turns fragrant
Add the tomatoes and saute until it turns soft and mushy
Now add the reserved palak paste and give it a good mix
Add 2 cups of water and give it a mix. (Note I have poured 1 cup of water into a blender jar to reuse the leftover paste and 1 cup of plain water)
Close the pan with its lid and cook the palak mixture for 5 to 7 minutes
Open the lid and simmer the heat. Now add the paneer cubes to palak curry and give it a good mix
Let the Palak Paneer simmer for 2 to 3 minutes and finally garnish with some crushed kasoori methi
Top the Palak Paneer with 2 tsp of heavy cream and serve it with naan, paratha, chapati, roti, matar pulao, or plain basmati rice