Soak the cashew nuts in a little water for 20 mins and once they are soft, make a paste and keep aside.
Heat oil in a pan, I prefer to use a mud chatti for this for any heavy bottom pan will work well. Once the oil is hot, add whole spices and saute till fragrant.
Add green chillies and onions, saute till the onions are soft and pink. We don’t need to brown the onions here since the curry doesn’t need that brownish color.
Add chicken pieces, potato and carrot. Mix well and add the thin coconut milk. Cover and cook till the chicken is almost done.
At this point, mix together the cashew paste and thick coconut milk. Add to the cooking stew and cook on low heat for 5 minutes.
While this is cooking, heat coconut oil for tempering in a pan and add curry leaves and sliced shallots to it. Saute till the shallots are nicely browned.
Add the tempering to the cooked stew and serve with appam, bread or above mentioned full thaali.
Notes
If you are using readymade coconut milk tetra pack, use 3 cups of coconut milk mixed with 1/2 cup of water.