In a bowl put 100g of cashew nuts and add just enough warm water to soak them for two hours. Drain and place them in either a blender or food processor, adding again a little warm water. Blitz to a thick smooth paste. Set aside.
Using a large frying pan, dry-roast the garlic, ginger, coriander seeds, cumin seeds, red chillies, cloves and cinnamon over a low heat for five minutes.
Add the coconut, 75g of the cashew nuts plus the onions and roast for a further 10 minutes, stirring all the time.
Remove the pan from the heat and leave to cool in the pan.
Grind the mixture either in a blender or food processor with 150ml -250ml of water for a very smooth consistency.
Heat the oil in a wide cooking pot, add the blended spice mixture and fry for ten minutes over a low heat.
Add the ground cashew nut paste with some salt and fry for another two to three minutes.
Increase the heat to medium high, and add the chicken. Fry for five minutes, then add the remaining cashews.
Stir-fry for a minute or so, then add 600ml of water. Bring to the boil, reduce the heat to low, and simmer until the chicken is tender.
Serve with saffron basmati rice. Garnish with a dollop of yoghurt, toasted cashew nuts and crispy fried onions
Note: Make sure whilst grinding the spices, the resulting paste is very smooth to a fine consistency. The sauce may look curdled if not done properly.