Season chicken with salt and pepper on both sides. Set aside.
Heat butter and oil in a large frying pan or skillet over medium heat-high heat.
Working in batches as needed, add chicken to the pan in a single layer. Cook for 5-7 minutes and then flip and cook for another 7-10 minutes depending on the size of chicken or until the juices run clear and chicken is cooked through. Ideally, the internal temperature needs to be 75 C or 165 F.
Remove chicken from the pan. Set aside.
To the same pan, add onions, garlic and bell peppers (capsicum). Sauté, stirring occasionally, for about 2-3 minutes or until the onions are soft and bell peppers are tender.
Reduce heat to low. Add tomato paste, paprika and cayenne pepper. Cook, stirring, for about 30 seconds.
Increase heat to medium-high.
Pour in chicken broth (stock). Season with salt and pepper. Bring to a boil. Simmer for about 3 minutes.
Add chicken back in the pan.
Add sour cream. Stir to combine. Simmer for another 3 minutes.
Garnish with parsley leaves.
Traditionally, this dish is served with spaetzle. You can also pair it with noodles, mashed potatoes, or steamed vegetables like green beans or broccolini.