Patience is critical for Matbucha. The slow liquid reduction and long cooking time are what transform simple ingredients into a deep, savory, and jammy bite. Real Matbucha has a spoon-holding consistency; it is not a runny sauce.
It is recommended to use quality ripe tomatoes (or canned peeled San Marzano tomatoes) and red bell peppers, which are first roasted to remove the skin and add a smoky flavor.
Roast the red peppers in the oven (at 230 °C (446 °F) or under the broiler) or over a direct gas burner until the skin is blackened and blistered. Transfer to a bowl, cover with foil, and let steam for 10 minutes (this makes peeling easier).
Peel the peppers, remove the seeds, membranes, and stem. Roughly chop them.
In a wide, deep pot, heat 1/4 cup of olive oil over medium heat. Add the chopped garlic and chili and sauté for 1 minute until fragrant (do not let them brown!).
Add the peeled and diced tomatoes, salt, and sugar. Cover and cook for 15-20 minutes until the tomatoes start to release their juice and soften.
Uncover and simmer over low heat for 60 to 90 minutes, or until most of the liquid has evaporated. The mixture should be thick like jam and should not leave a watery trail when a spoon is dragged across it.
Add the roasted and chopped peppers and ground paprika. Stir and cook for another 10-15 minutes until the flavors meld.
Remove from heat and let the Matbucha cool to room temperature (or chill it in the refrigerator). The flavor intensifies as it cools.
When serving, transfer the Matbucha to a shallow bowl and generously drizzle with the remaining extra virgin olive oil. Serve with warm pita bread or challah.