Pour the coconut milk into a saucepan and stir in the green curry paste so that there are no lumps.
Cook uncovered, stirring frequently, over medium-low heat until the oil separates and it starts to smell fragrant about 8 to 10 minutes.
Add chicken pieces, coconut milk, bay leaf and fish sauce. Bring to a boil, reduce heat, and simmer for 20 to 25 minutes.
Remove the bay leaf and stir in lemon juice. Add the basil and coriander. Simmer for 5 more minutes. Serve hot with jasmine rice.