Chili Paneer (Keto-Friendly)
This chili paneer recipe features bold, spicy flavors from Indian-Chinese cuisine while being keto-friendly. It uses just 10 ingredients and takes only 15 minutes to prepare, offering a restaurant-style experience perfect as an appetizer or main course.
The recipe combines crispy paneer with a savory, spicy sauce, crunchy bell peppers, and onions. It works well for anyone who loves flavorful food or follows a keto diet.

Recipe Video
Indian-Chinese Cuisine
When most of us Indians eat Chinese food here, it actually has very little to do with food in China. ‘Indian Chinese’ is its own thing, a mishmash of Indian spices and vaguely Chinese flavors melded together to make a truly singular cuisine.
Most Chinese would be very surprised at finding dishes like chicken Manchurian, Hakka noodles, triple Schezwan and chicken lollipop on the menu – you’re never going to find any of these in its supposedly native country. But that’s not to say it isn’t delicious.
Indian Chinese is madly, deeply, ridiculously tasty and utterly addictive! And chili paneer is a dish you’ll find in every ‘Chinese’ restaurant in India – think soft cubes of farmer-style cheese tossed in an umami soy-based sauce with scallions, peppers, and chilies.
Ingredients
- Paneer: Paneer has a firm texture that fries to a golden brown while staying soft inside. If you can’t find paneer, you can make homemade paneer without much work or you can use firm tofu if needed. This recipe also works well with chicken, beef or pork.
- Bell Peppers: Choose your favorite colored bell pepper and chop it into large pieces for added texture.
- Red Onion: Chopped into large pieces, red onions provide a mild sweetness and slight crunch. Yellow or white onions can be used as alternatives, but I prefer red onions because of their flavor.
- Garlic and Ginger: Freshly minced garlic and ginger form the aromatic base of the dish.
- Chili Sauce: Use your favorite chili sauce to control the spice level. I used sriracha for its tangy heat and flavor, but any high-quality chili sauce will work.
- Soy Sauce: Soy sauce adds a savory depth and saltiness. For a gluten-free option, tamari or coconut aminos can be used instead.
- Vinegar: Vinegar adds brightness and tang, cutting through the richness of the paneer and sesame oil.
- Sesame Oil: This nutty, aromatic oil adds a rich flavor to the paneer and vegetables. If unavailable, avocado or olive oil are good substitutes.
- Fresh Chili Pepper: Fresh red chili pepper, deseeded and chopped, adds a touch of heat. Adjust the quantity based on your spice preference.
- Green Onions: Sliced green onions are used as a garnish for their fresh flavor and vibrant color.
Storage and Leftovers
Refrigeration: Allow the chili paneer to cool completely before transferring it to a storage container. Store the dish in an airtight container in the refrigerator for up to 3 days.
Freezing: While this dish is best enjoyed fresh, you can freeze it for up to 1 month. Store in an airtight, freezer-safe container. Thaw in the refrigerator overnight before reheating.
Reheating Options
Stovetop
Heat a non-stick skillet or frying pan over medium heat. Add a splash of water and stir gently as the chili paneer warms through. Cook for 3-5 minutes, until the paneer and vegetables are heated throughout.
Microwave
Place the chili paneer in a microwave-safe dish and cover it loosely. Heat for 2 minutes. Stir, then heat in 30-second intervals, stirring after each interval until hot throughout.
FAQs
This dish is typically medium-spiced, but the spice level can be adjusted based on your preferences. The heat mainly comes from the chili sauce and fresh chili pepper, so you can reduce or increase their quantities to suit your taste.
This dish pairs wonderfully with cauliflower rice or keto-friendly noodles For a non-keto option, serve it with Indian rice or flatbread.
Absolutely! You can include other low-carb vegetables like zucchini, mushrooms, or snap peas to make the dish heartier. Just ensure they are cooked evenly by adjusting the stir-fry time if necessary.
More Recipes You May Like:
- Paneer Tikka Masala
- Matar Paneer Recipe
- Keto Paneer Makhanwala
- Keto Paneer Jalfrezi
- Keto Lemon Pepper Paneer
- Keto Paneer Bhurji
This post was first published on May 18, 2016, and updated on January 23, 2025.
Chili Paneer (Keto-Friendly)
Ingredients
- 8 oz paneer
- 1 ¾ oz red onion chopped into large pieces
- 3 oz bell peppers chopped into large pieces
- 1 tsp fresh ginger minced
- 1 tsp fresh garlic minced
- 1 tbsp vinegar
- 2 tsp soy sauce
- 1 tsp chili sauce
- 1 tbsp sesame oil
- ¾ oz green onions sliced
- Salt to taste
- Black pepper to taste
Instructions
Prepare and Fry Paneer:
- Preheat a large sauté pan over medium heat. Add sesame oil.
- Fry the paneer on each side for about 2 minutes, until golden brown. Remove from the pan and slice into bite-sized pieces.
Cook Aromatics and Vegetables:
- In the same pan over medium heat, add more sesame oil if needed.
- Sauté minced ginger and garlic for 30 seconds until aromatic.
- Add the chopped red onions and capsicum, cooking for 4–5 minutes until softened.
Make the Sauce:
- Mix in the vinegar, soy sauce, chili sauce, and a splash of water. Bring to a simmer and cook for 2 minutes.
Combine and Serve:
- Add the paneer to the pan and stir-fry until the sauce thickens and coats the paneer.
- Garnish with sliced green onions and serve hot.
Hi Sahil, Thank you for sharing this recipe. For some reason, I am unable to search for this recipe in myfitnesspal. If I go through the link here, I can see the recipe but cannot log it to my food diary. Can you please check the links/ code? Thanks once again!
hey Ashima, the code is correct. I’m not sure why you are unable to log it. You might have to manually enter it into the ‘my foods’ section of your own profile if you are unable to log it from here.
How much can I eat it on daily basis in a keto diet, And can i only eat this for a month?
You need to calculate your own macros depending on your height and weight and you can but why would you want to eat the same thing for 1 month?
is paneer not dairy?i thought its not allowed on kito
Paneer is dairy and is allowed on keto. I’m not sure who has told you that dairy is not ok but it’s fine to consume. It does hamper weight loss in some people so there are folks who try keto without it when they reach a weight stall or something.
Hi Sahil, thanks for the receipe. Can I freeze the cooked dish for 4-5 days? If yes, should I pan fry it again to rehead or just microwaving it for a couple of minutes do? Thanks!
Yes you can make and freeze it and reheat in the microwave no problem
you are awesome! love your videos and recepies! thanks for this!
do you have a recepie for gobi Manchurian?
Not yet but can work on it soon.
sahil isint soya sauce high on carbs
Yes it has carbs but we are using a very small amount. See the final macros I have mentioned. Fit them into your daily intake. Also look for a soya sauce that is good quality so you don’t get something filled with sugar.
BRO. This was delicious. Made it exactly the way you said and my mouth waters even after I am done eating. Awesome job on the recipe. Keep doing more good ones.
-Cheers
KBC
So glad to hear that!
Hi Sahil,
Do you make your own chilli sauce for this recipe? If so, can you share the recipe for that?
No just used some Sriracha.
Hi Sahil
Thankyou soo much for all your recipes. Thy r amazinggg
Btw ca
N i substitute the paneer with chicken? If yes then how would the nutrition info change?
Absolutely!! But you need to calculate the macros again by creating the new recipe.
Thank you for the recipe. Would appreciate if you named the low carb sugar free soy sauce that you have used.
Just used a normal Soya sauce that I could find.
why didn’t you open your restaurant with all keto dishes in Toronto, Canada
Because I live in Mumbai India.
Rofl
This was AWESOME thank you! I used a chili garlic sauce, as the sriracha here has sugar as a main ingredient. It tasted amazing and easy to make.
Hi Sahil,
My daughter’s on Keto and I’s busy trying all your recipes. The first dish I made was the prawn in greens. Loved it. Tried the tikkis, flopped badly but this morning made the upma. Yum..
Looking forward to everything good and yummy from your end.
Hi Sahil! This looks amazing! I cannot wait to try it! I am wondering where all the carbs are coming from, is there something that can be substituted or omitted to reduce rhe 8g net carbs?
The soya sauce, the onions, the peppers. the paneer itself also has carbs.
Which low carb soy dice do you recommend?
I don’t eat soy dice so look around in the local supermarket and read the nutrition info and ingredients and make a choice.
Hey Sahil,
This is awesome. I’ve been on Keto+If for a week now and definitely finding meal prep the hardest bit. Sunny mentioned your site, and I’m finding it very useful.
Thanks !
Your recipes are awesome. Every dish of yours I tried was delicious will surely try this too.
Hi Sahil, I just checked that Soya Sauce has sugar. Which brand do you use? Is that without sugar. My understanding in Keto is that we must completely avoid sugar even if it is small qty. What are your thoughts?
I use Lindt chocolate 85% in my cooking which has sugar. Honestly I don’t have an issue as long as my carbs are in the 20-30 gram range. I use whatever Soya sauce I can find, normally I try and get a light one that has less carbs but living in India I have limited choice. I just make sure it’s a good quality Soya sauce and not some cheap brand. See there is a difference between trying to sneak in a tsp of sugar into your food vs a fraction of a % that’s there in a sauce or a chocolate that’s used in a dish that makes 3-4 servings and it’s adding just 1 or 2 carbs to that serving. So it works for me.
This was soooo good! Thank you for sharing this recipe!
I’m new to keto (been into it for about a week now) and was already missing food that we get easily in India 🙁 I was missing the spicy, Indian tangy food and was looking for a quick fix! I’m glad I found your channel on Youtube, and made this recipe today, and what a joy it was to eat my lunch today! Thanks, Sahil!
Hi what’s the name of the green pepper? I don’t see it on your list of ingredients. Thanks!
hey Rob, the green bell pepper is called capsicum in India. 🙂
Hey….usually i see sugar in ingredients in Siracha sauces… Though they are low in carbs(as per ingredients list) but they have sugar…so is it okay to have such siracha sauce?
I use them. It all depends on how strict you want to be. I’m not that strict. I will probably at some point make my own sriracha as well. Till then I’ll use the one I get at the store. I’ll try and find the best one, plus I use so little it’s negligible.
Hi Sahil, tried chilly paneer and it was nice. My son is on keto and follows jain cuisine. Kindly send to me personally on [email protected] any jain indian keto dish if you can pls. Thanks
Hi, in carb manager with same quantity saying 15gm carb in macros. Also other two are higher as well.
Awesome tried this and it came out very good.