Place a non-stick skillet over medium heat and once hot add the chili pepper and toast for 1-2 minutes, moving them around in the pan. Once done, remove from pan and set aside.
Add the beef broth to a saucepan and bring to a boil, once boiling, add the chilis into the mixture, remove from heat and let them sit in the mixture for 20-30 minutes. Set aside in a bowl.
Place a Dutch oven on the stove over medium-high heat, once hot add the oil and wait for it to shart shimmering. Once hot, season the stew meat with some salt and pepper and brown it in batches. Cook it until nicely browned on all sides.
In the meantime, transfer the broth and chili mixture to a blender. Add the onion, garlic, tomato paste, cumin, paprika, oregano, sugar, salt, and pepper and blend until smooth.
Add the mixture to the beef, stir and bring to a gentle boil. Add the bay leaves.
In the meantime, preheat oven to 300 degrees F.
Turn off the stove heat, cover the pot and transfer it to the oven for 2 hours or until the beef is fall apart tender.
Discard the bay leaves and serve with beans or rice.