This Paneer and Bell Pepper recipe is an easy restaurant style dish made in the instant pot.
As someone who grew up in Mumbai India, eating paneer both at home and in restaurants was a regular part of my routine. I often ate paneer instead of chicken or lamb. Paneer seriously curbed my meat cravings and still does.
I am not trying to convince you to go vegetarian. All I am saying is that this instant pot paneer recipe is a great way to jazz up paneer! This paneer and bell pepper recipe will likely have regular place in your dinner rotation after trying it.
Paneer when served with veggies and grains makes up for a perfect balanced meal that’s sure to suppress your take-out desire!
What is paneer?
Paneer is a squeaky, fresh cheese from the Indian subcontinent. It is a vegetarian’s companion and is made by curdling milk with a vegetable-derived acid, for instance lemon juice. It has a milky flavor. You can make paneer at home; however, I buy mine from the Indian grocery store. I don’t have the patience to make it at home. There are many recipes online for making homemade paneer. I used Nanak paneer for making this recipe. You can buy any brand that you like or prefer. Paneer is available in Indian grocery stores.
They key to cooking paneer is that you don’t cook it for too long. It tends to get hard and chewy if you cook it very long.
Paneer and Bell Pepper – Ingredients
Instant Pot of course!
Oil, paneer, bell pepper, onion, tomato, ginger garlic paste, cumin seeds, ground cumin, ground coriander, garam masala, ground turmeric, water, Kashmiri chili powder, salt, dried mint leaves, and fresh cilantro leaves.
The paneer and bell-pepper (capsicum) need to be diced to 3 inch cubes.
You can use any color bell-peppers. I personally prefer red or orange because it adds a great color to the dish.
How to we make this Paneer and Bell Pepper recipe in the instant pot?
First, select sauté on the instant pot and adjust to normal. Then add oil to the pot. When the oil is hot add cumin seeds. When the cumin seeds splutter, then add diced onions and ginger garlic paste. Stir occasionally to prevent the onions from burning.
When the onions turn golden in roughly 2 to 4 minutes add the spices (kashmiri chili powder, ground cumin, ground coriander, ground turmeric, and garam masala). Additionally, add 1/2 cup water and give it a good stir. Let the spices saute for a minute or two.
Then add pureed tomatoes. Let the tomatoes saute for a minute or two to let the raw tomato odor out. Give it a good stir. Add salt and give it a good stir.
Add paneer, bell pepper, dried mint leaves and 1/4 cup water. Stir gently.

Tried this recipe yet? Give us a rating, comment below in the reply section and let us know what you think.
Try some of our other recipes:
Instant Pot Punjabi Dhaba Chicken Curry
Instant Pot Butter Chicken / Instant Pot Murg Makhani

Paneer and Bell Pepper – Restaurant Style in the Instant Pot
Equipment
- Electric Pressure Cooker
Ingredients
- 4 tbsp oil of choice
- 1 tsp cumin seeds (jeera)
- 1/2 tsp onion finely chopped (3/4 cup chopped)
- 1 tbsp ginger garlic paste (either freshly minced in equal quantities or store bought)
- 1 tbsp kashmiri chili powder
- 1/2 tsp ground cumin (jeera powder)
- 1 tbsp ground coriander (dhaniya powder)
- 1/4 tsp ground turmeric (haldi)
- 1/2 tsp garam masala
- 3/4 cup water (divided)
- 1 and 1/2 tomato pureed (3/4 cup pureed)
- 3/4 tsp salt
- 6 oz paneer (half of a 12 oz pack) (chopped to 3 inch cubes)
- 1 and 1/2 red bell-peppers chopped to 3 inch cubes (2 cups chopped)
- 1/2 tsp dried mint leaves
- 1/4 cup cilantro leaves (fresh and finely chopped)
Instructions
Prep
- Rinse, and dice the bell-peppers to 3-inch cubes. Dice the paneer to 3-inch cubes.
- Dice the onion and cilantro finely.
- Puree the tomatoes.
Cook
- Select sauté on the instant pot and adjust to normal. Add oil to the pot. When the oil is hot add cumin seeds. When the cumin seeds splutter, add the diced onions and ginger garlic paste.Stir occasionally to prevent the onions from burning.
- When the onions turn golden in roughly 2 to 4 minutes add the spices (Kashmiri chili powder, ground cumin, ground coriander, ground turmeric, and garam masala). Add 1/2 cup water and give it a good stir. Let the spices saute for a minute or two.
- Then add pureed tomatoes. Let the tomatoes saute for a minute or two to let the raw tomato odor out. Give it a good stir. Add salt and give it a good stir.
- Add paneer, bell pepper, dried mint leaves, and 1/4 cup water. Stir gently.
- Press cancel. Secure the lid on and select manual/high pressure for 1 minute. When done quick release the pressure. Garnish with cilantro. Transfer to a serving bowl immediately. Serve with tortillas or naan (Indian flat-bread), or over steamed rice.