Paneer Capsicum Masala is a creamy, flavorful, and comforting curry made without onion or garlic. Soft paneer cubes and crunchy capsicum are gently simmered in a rich yogurt-based gravy that is lightly spiced, wonderfully aromatic, and surprisingly satisfying without relying on a traditional gravy.

This easy one-pan recipe comes together in about 30 minutes using simple pantry ingredients. The combination of thick yogurt and roasted besan creates a smooth, creamy gravy with plenty of flavor, making this Paneer Capsicum Masala perfect for weeknight dinners, festive meals, or Jain and satvik cooking.
Jump to:
- Paneer Capsicum Masala Without Onion Garlic
- From My Kitchen
- Why You Will Love This Curry
- Ingredients and Notes
- How To Make Paneer Capsicum Masala
- Serving Suggestions
- Expert Tips For the Best Paneer Capsicum Masala
- What Makes This Paneer Capsicum Masala Different?
- Frequently Asked Questions
- More Paneer Recipes
- Paneer Capsicum Masala (No Onion No Garlic)
Paneer Capsicum Masala Without Onion Garlic
One of my favorite things about this recipe is that it proves you don’t always need a slow-cooked onion and tomato gravy to make an incredibly delicious paneer curry.
Instead of preparing a separate gravy, the paneer, tomatoes, and capsicum are lightly marinated with spices before being cooked directly in a creamy yogurt-based sauce. The yogurt provides richness, while roasted besan naturally thickens the gravy and prevents it from becoming watery.
The result is a curry that tastes fresh, light, and homestyle while still feeling rich enough for special occasions. Since everything cooks in one pan, it is also one of the quickest paneer curries you can make on busy evenings.

From My Kitchen
One of the reasons I love this recipe is because it shows how incredibly flavorful a paneer curry can be without relying on onion, garlic, or even a separate tomato gravy. Whenever I want something comforting but don’t feel like spending time preparing a rich base, this is one of the first recipes I make.
I usually prepare it with fresh homemade paneer and thick yogurt, which gives the gravy a creamy texture without making it heavy. Sometimes I use only green capsicum, and other times I mix in colorful bell peppers depending on what I have in the refrigerator.
If your yogurt happens to be slightly tangier than mine, don’t hesitate to add a tiny pinch of sugar or honey at the end. It’s a simple trick that gently balances the flavors without making the curry sweet. Small adjustments like this are part of everyday home cooking, and they’re what make a recipe truly your own.
I hope this Paneer Capsicum Masala becomes one of those dependable recipes that you return to whenever you need an easy, comforting dinner.

Why You Will Love This Curry
- Completely no-onion, no-garlic, and Jain-friendly.
- Rich, creamy yogurt gravy without heavy cream.
- One-pan recipe with minimal cleanup.
- Ready in about 30 minutes.
- Uses everyday pantry spices.
- Fresh capsicum adds natural sweetness and crunch.
- Perfect for weeknight dinners or festive meals.
- Easy to customize with colored bell peppers.

Ingredients and Notes
- Paneer: Fresh paneer makes the biggest difference in this recipe. Homemade paneer made from whole milk stays wonderfully soft and absorbs the flavors beautifully.
- Green Capsicum: Green peppers add a mild peppery taste that balances the creamy gravy. For a sweeter flavor, replace half or all of the green peppers with red, yellow, or orange bell peppers.
- Tomatoes: Instead of forming the gravy base, tomatoes are marinated along with the paneer, giving the curry freshness and gentle tanginess.
- Thick Yogurt: Use thick whole milk yogurt or Greek yogurt. Thick yogurt produces a smooth gravy and greatly reduces the risk of splitting.
- Roasted Besan: Roasted chickpea flour naturally thickens the gravy while adding a subtle nutty flavor.
- Ginger and Green Chili: Fresh ginger provides warmth while green chili adds heat.
- Kasuri Methi: Adds the signature North Indian restaurant aroma. Crush it between your palms before adding.
- Spices: Simple pantry spices including cumin seeds, turmeric, coriander, Kashmiri chili powder, garam masala, and asafoetida build plenty of flavor without onion or garlic.
How To Make Paneer Capsicum Masala
Marinating the Paneer and Veggies
- In a medium mixing bowl, combine the following ingredients: paneer cubes, diced green peppers, tomatoes, oil, salt, turmeric powder, red chili powder, garam masala, and kasoori methi.

- Mix gently so the spices coat the paneer and veggies evenly.
- Set aside.

Preparing the Yogurt Mixture
- Take yogurt in a bowl and add roasted besan, salt, turmeric powder, red chili powder, and coriander powder.
- Whisk well to make a smooth consistency.


Making the Paneer Capsicum Masala
- Heat oil in a pan and add cumin seeds.
- Once the cumin seeds start to sizzle, add green chili, ginger, and asafoetida.
- Mix well and sauté for a few seconds.


- Add the marinated paneer mixture and mix gently.
- Cook the paneer mixture on medium to high heat for 2 minutes, stirring occasionally.

- Now, turn the heat on low and add the yogurt mixture.
- Immediately mix until everything is well combined, then cook on low heat for 1 minute.


- Now, turn the heat to medium and add water as needed to adjust the consistency.
- Mix everything well and cover with the lid.


- Cook the curry for 10-12 minutes, or until the oil separates from the sides and the yogurt no longer smells raw.
- Be sure to stir the curry occasionally and add more water if necessary to adjust the consistency.

- Taste the curry and adjust the salt if required.
- Finally, add the finely chopped coriander leaves, mix well, and turn off the heat.


- Transfer the Paneer Capsicum Masala to the serving bowl and serve with Indian flatbread or rice.

Serving Suggestions
Serve this delicious Paneer Capsicum Masala with any Indian flatbread of your choice.
It pairs well with Roti, Tandoori Roti, Naan, Kulcha, Paratha, or our Whole Wheat Kulcha (No Yeast).
You can also serve it with plain rice, Jeera Rice, or Pulao.
To create a festive meal, pair Paneer Capsicum Masala with other Dal preparations and accompaniments, such as Boondi Raita, Pomegranate Raita, or Cucumber Raita.
Expert Tips For the Best Paneer Capsicum Masala
Use Thick Yogurt: Thick yogurt creates a smooth, creamy gravy and is much less likely to curdle than regular thin yogurt.
Add Yogurt Over Low Heat: Reduce the heat before adding the yogurt mixture and stir continuously until fully incorporated.
Balance the Tanginess: The sourness of yogurt and tomatoes can vary depending on the brands and season. If your curry tastes slightly too tangy after cooking, stir in a pinch of sugar. It won’t make the curry sweet; it simply balances the acidity and rounds out the flavors.
Don’t Overcook the Paneer: Paneer only needs a few minutes to heat through. Overcooking makes it firm and chewy.
Adjust the Consistency: If the gravy thickens while simmering, add a splash of hot water until it reaches your preferred consistency.
What Makes This Paneer Capsicum Masala Different?
Unlike many paneer curries that rely on onion, garlic, cream, or a rich tomato gravy, this recipe uses thick yogurt and roasted besan to create a naturally creamy sauce. The paneer, capsicum, and tomatoes are marinated before cooking, allowing the spices to coat every bite while keeping the recipe simple enough for everyday meals.
This makes it an excellent choice for Jain cooking, satvik meals, or anyone looking for a lighter yet satisfying paneer curry.
Frequently Asked Questions
Yes. The flavors develop even more after resting for a few hours. Reheat gently over low heat and add a splash of water if the gravy becomes too thick.
Absolutely. Greek yogurt works exceptionally well because of its thick consistency and creamy texture.
Yes. The tomatoes mainly add freshness and mild tanginess. However, it’s perfectly fine to skip them.

More Paneer Recipes

Paneer Capsicum Masala (No Onion No Garlic)
Ingredients
For Marinating the Paneer
- 250 g paneer cubes
- 1 medium green pepper, cubed
- 1 medium tomato, diced
- 1 teaspoon oil
- Salt to taste
- ¼ teaspoon turmeric powder
- 1 teaspoon Kashmiri red chili powder
- 1 teaspoon garam masala or to taste
- 1 teaspoon kasoori methi
For the Yogurt Mixture
- 1 cup plain thick yogurt
- 1 tablespoon roasted besan (chickpea flour)
- ½ teaspoon salt
- ¼ teaspoon turmeric powder
- ½ teaspoon red chili powder
- 1½ teaspoon coriander powder
For Paneer Capsicum Masala
- 1 tablespoon oil
- 1 teaspoon cumin seeds
- 1- inch ginger, peeled and grated
- ¼ teaspoon green chili paste or to taste
- ¼ teaspoon asafoetida
- Marinated paneer
- Prepared yogurt mixture
- ½ cup water or as required
- 2 tablespoon finely chopped cilantro
Instructions
Marinating the Paneer and Veggies
- In a medium mixing bowl, combine the following ingredients: paneer cubes, diced green peppers, tomatoes, oil, salt, turmeric powder, red chili powder, garam masala, and kasoori methi. Mix gently so the spices coat the paneer and veggies evenly. Set aside.
Making the Yogurt Mixture
- Take yogurt in a bowl and add roasted besan, salt, turmeric powder, red chili powder, and coriander powder. Whisk well to achieve a smooth consistency.
Making the Paneer Capsicum Masala
- Heat oil in a pan and add cumin seeds. Once the cumin seeds start to sizzle, add green chili, ginger, and asafoetida. Mix well and sauté for a few seconds.
- Add the marinated paneer mixture and mix gently. Cook the paneer mixture on medium-high heat for 2 minutes, stirring occasionally.
- Now, turn the heat on low and add the yogurt mixture. Immediately mix until everything is well combined, then cook on low heat for 1 minute.
- Now, turn the heat to medium and add water as needed to adjust the consistency. Mix everything well and cover with the lid.
- Cook the curry for 10-12 minutes, or until the oil separates from the sides and the yogurt no longer smells raw. Be sure to stir the curry occasionally and add more water if necessary to adjust the consistency.
- Taste the curry and adjust the salt if required. Finally, add the finely chopped coriander leaves, mix well, and turn off the heat.
- Transfer the Paneer Capsicum Masala to a serving bowl and serve with Roti, Paratha, Naan, or Jeera Rice.
Notes
- Use Thick Yogurt: Thick yogurt creates a smooth, creamy gravy and is much less likely to curdle than regular thin yogurt.
- Add Yogurt Over Low Heat: Reduce the heat before adding the yogurt mixture and stir continuously until fully incorporated.
- Balance the Tanginess: The sourness of yogurt and tomatoes can vary depending on the brands and season. If your curry tastes slightly too tangy after cooking, stir in a pinch of sugar. It won’t make the curry sweet; it simply balances the acidity and rounds out the flavors.
- Don’t Overcook the Paneer: Paneer only needs a few minutes to heat through. Overcooking makes it firm and chewy.
- Adjust the Consistency: If the gravy thickens while simmering, add a splash of hot water until it reaches your preferred consistency.











Chandni says
Tried this recipe; it tasted quite homely, nice & had subtle flavours, but needed a bit of sweetness to balance the sourness from yogurt and tomatoes…
Jigna says
Hi Chandni! Thank you so much for trying the recipe and sharing your feedback! I’m glad you enjoyed the homely flavors. Adding a touch of sweetness is a great idea to balance the tang from yogurt and tomatoes—I’ll note that as a helpful tip for others too.