Heat olive oil a large nonstick pan or skillet over medium-high heat. Add shallots and stir-fry until soft, 3 to 5 minutes. Add bell pepper, chile pepper, ginger, and garlic; stir-fry for 3 minutes. Pour in 1/4 of the coconut milk and stir in curry paste until well distributed.
Add chicken, 1/4 cup Thai basil, brown sugar, lime juice, and fish sauce. Cook and stir until chicken is no longer pink in the center and juices run clear, 7 to 10 minutes.
Add the rest of the coconut milk and diced tomato to the pan and bring to the boil. Simmer over medium heat for 10 to 15 minutes more. Serve with remaining basil and scallions on the side as a garnish.
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