To begin making the Paneer in White Gravy Recipe, prep all the ingredients and keep them ready.

To make a paste of the cashew nuts, add it to the mixer grinder, add milk and blend to make a smooth paste.

Heat ghee in a pan; add the green chillies, bay leaf, star anise, badi elaichi, cinnamon stick and saute for a few seconds.

Add the kasuri methi, the cashew paste, yogurt, salt and paneer. 

Give the Paneer in white gravy a stir and give it a brisk boil. 

Once done, check the salt and adjust according to taste and turn off the heat.

Transfer the Paneer In White Gravy to a serving bowl and serve hot. Sprinkle with more kasuri methi if desired.

Serve the  Paneer in White Gravy Recipe along withDal Makhani, Tawa Paratha and Pyaz for a delicious dinner or lunch.