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Heat oil in a pan and add cumin seeds to it. Wait till they start to crackle.
Add finely chopped or pureed onions to the pan and saute over low to medium flame for 2-3 minutes. Add ginger-garlic paste and finely chopped green Chillies. Saute for some more time till onions turn translucent.
Add Turmeric powder, Garam masala powder, Salt and Red Chilli Powder. Stir to mix the ingredients. Saute for half minute.
Add Tomato puree and mix. Let it cook & reduce to a paste till oil starts to ooze from sides. Continue to stir in between.
Add Cream (Malai) or Milk to the pan.
Mix all the ingredients well and cook for 2-3 minutes.
Add 1/2 cup water to adjust the consistency of the gravy. Stir continuously till water starts boiling.
Add fresh peas to the pan and stir to mix them. Cook them for 4-5 minutes.
When the green peas are soft, add paneer cubes.
Cook the ingredients till boiling just starts. Garnish Matar Paneer with fresh chopped coriander leaves and stir to mix. You can also add Kasuri Methi (Dry Fenugreek Leaves) at this stage.
Matar Paneer is ready. Serve Matar Paneer hot with butter naan, plain paratha, poori, roti or rice.