Cut 250 grams of paneer into small cubes and set aside.
Heat 2 tablespoons of butter in a pan over medium heat. Add 1 teaspoon of ginger-garlic paste and sauté for a minute.
Add 1 finely chopped onion and cook until it turns golden brown.
Add 2 cups of tomato puree, 1 teaspoon of red chili powder, 1/2 teaspoon of turmeric powder, 1 teaspoon of coriander powder, and 1/2 teaspoon of garam masala. Cook for 5-7 minutes, stirring occasionally.
Add 1 cup of water and bring the mixture to a boil. Lower the heat and let it simmer for 10 minutes.
Add the paneer cubes and cook for another 5 minutes.
Stir in 1/2 cup of fresh cream and cook for 2-3 minutes until the gravy thickens.
Garnish with chopped coriander leaves and serve hot with naan or rice.