Start by soaking the dried red chilies in warm water for about 10 minutes.
Heat oil in a pan over medium heat, and saute the ginger, garlic and chopped green onions for about 2-3 minutes.
Blend the dried red chilies in a blender jar (draining away the excess water) and add the mixture into the pan. Let this cook for about 3-5 minutes.
Now add the remaining ingredients and give it a good mix. Let it cook for another 2-3 minutes and then take it off heat. Let it cool down and serve or store for later.
Notes
Use milder dried chilies and remove their seeds and inner ribs for less heat. Blend the chilies coarsely for a chunkier sauce.
Stir frequently over medium-low heat once the chili paste is added so the garlic and chilies do not scorch.
Refrigerate promptly in a clean, airtight container and use within 3–4 days, or freeze extra portions.
This recipe is not tested for canning or room-temperature storage.