Heat olive oil in a large skillet.
Season chicken with dried basil, salt, and pepper.
Add the chicken breasts to the skillet and cook over medium-high heat, for 3 to 4 minutes per side, or until lightly browned.
Remove chicken breasts from skillet; set aside.
Add butter to the skillet and melt.
Add diced onions and cook for 2 minutes.
Stir in garlic and cook for 30 seconds.
Add water to dissolve the brown pieces found at the bottom of the skillet; continue to cook for 4 minutes, or until reduced.
Mix in the tomatoes, tomato paste, oregano, basil and capers.
Place chicken back in the skillet.
Bring to a boil; cover and simmer over medium-low heat for 8 minutes, or until chicken is cooked thoroughly.
Remove from heat.
Garnish with parsley and serve.