Honey-Spiced Chicken with Orange Sauce - Israel

2 tablespoons vegetable oil
2 1/2 pound to 3 pound chicken
2 medium onions, sliced
1 teaspoon salt
1 teaspoon paprika
1/8 teaspoon pepper
1 cup orange juice
1/4 cup honey
2 tablespoon lemon juice
1/2 teaspoon ground ginger
1/4 teaspoon nutmeg
1/2 cup ripe olives
1 tablespoon water
2 teaspoons cornstarch
Orange slices

Heat oil in skillet until hot. Cook chicken over medium heat until brown on all sides, about 15 minutes. Place chicken in ungreased oblong baking dish, 11x7x1 2/2 inches; top with onions. Sprinkle with salt, paprika and pepper. Mix orange juice, honey , lemon juice, ginger, and nutmeg; pour over chicken. Add olives. Cover and cook in 150 degree F oven until thickest part of chicken is done, about 45 to 60 minutes.

Arrange chicken, onion s and olives on platter. Pour juice in sauce pan . Mix water and cornstarch and stir to form a paste. Add to juices. Cook an stir until thickened, 1 to 2 minutes. Garnish chicken with sauce and oranges.