Preheat oven to 350 degrees F (175 degrees C). Line a baking sheet with foil and coat with cooking spray.

Mix ground chicken, bread crumbs, olive oil, onion, ginger paste, garlic, curry powder, salt, and pepper together in a bowl until thoroughly combined. Roll mixture into thirty 1-inch balls and place on the prepared baking sheet.

Bake in the preheated oven until cooked through, 10 to 15 minutes. An instant-read thermometer inserted into the center should read at least 165 degrees F (74 degrees C).

Meanwhile, heat olive oil in a large saucepan over medium-high heat. Add onions, garlic, and ginger paste; saute until onions become soft, about 5 minutes. Add sugar, garam masala, cumin, ginger, curry powder, cinnamon, chicken bouillon, paprika, cayenne, turmeric, onion powder, and salt; stir to combine. Stir in tomato sauce, diced tomatoes, heavy cream, and water. Cook until warmed through, about 5 minutes. Add butter and stir to melt.

Cook sauce over medium-low heat for 30 minutes. Stir cooked meatballs into the sauce.