To begin making the Capsicum In Coconut And Peanut Gravy Recipe, firstly dry roast peanuts, sesame seeds, coriander seeds for about 20 seconds. Cool completely and make a fine paste along with coconut and keep aside.
Heat oil in a heavy bottomed pan, temper with cumin seeds and add ginger garlic paste. Fry till raw smell goes off and add onions.
When the onions turn translucent, add tomatoes, turmeric powder, salt, mix well and cook covered until tomatoes turn mushy. This will take about 3 to 4 minutes.
When the tomatoes are mushy, mash them well using the back of the spoon and fry until the water evaporates and onion tomato mixture looks like a paste.
Now, add coconut peanut paste and cook for about 3 to 4 minutes. Add red chilli powder, garam masala, water and bring to boil.
Now, add capsicum and cook covered for 5 to 10 minutes. After 5 to 10 minutes, add Kasuri Methi, mix well and serve.