Prepare rice according to package directions.
Heat butter and oil in a large pan over medium heat. Add onions and cook for 5 minutes until golden brown. Add garlic and ginger and cook for 1 minutes until fragrant.
Stir in garam masala, cumin, coriander, chili powder, and turmeric. Cook for 30 seconds to release the aroma. Add tomatoes and cook 5 minutes. Add a little water if needed.
Place the sauce in a blender and puree until smooth. Return to pan.
Add paneer to sauce, mix well to coat the paneer. Simmer for 5 minutes. Stir in the remaining butter.
Garnish with cilantro and drizzle with cream. Serve with rice.