For the Palak Masala Paste

Heat coconut oil in a pan and add in the cumin seeds. Add in the garlic and the ginger and saute for a minute. Add in the onions, green chillies, cashews and the salt. Cook till the onions are light brown in colour.
Add in the spinach leaves and cook for a couple of minutes till the leaves are wilted. Let the mixture cool a bit.
Grind the above mixture to a fine paste. Set aside.

For Making the Palak Tofu

Heat oil in a pan and add in the onions. Saute for a minute. Add in the masala powders and saute for a few seconds. Add in the tomatoes. Add in the salt and the sugar. Cover the pan with a lid and cook on a low flame till the tomatoes are mushy.

Add in the palak paste and the water. Mix well to combine. Add in the tofu and simmer the curry for five minutes.

Palak Tofu is ready.