In a medium saucepan, combine chopped dried apricots, water, and granulated sugar. Cook over medium heat, stirring occasionally, for about 15-20 minutes until the apricots are tender and the mixture thickens. Stir in fresh lemon juice and almond extract if using, then remove from heat and let cool.

Preheat your oven to 375°F (190°C) and grease a 9x13-inch baking pan lightly or line it with parchment paper.

In a large mixing bowl, whisk together all-purpose flour, granulated sugar, baking powder, and salt until fully combined.

Cut the chilled unsalted butter into the dry mixture using a pastry cutter until it resembles coarse crumbs.

In a separate bowl, mix the beaten egg and vanilla extract until combined. Gradually pour this into the crumbly dough, stirring just until moistened.

Set aside 1.5-2 cups of dough for topping. Press the remaining dough evenly into the prepared baking pan.

Pour the cooled apricot filling evenly over the pressed dough.

Crumble the reserved dough evenly over the apricot layer.

Bake for 30-35 minutes or until the top turns golden brown and the edges are bubbling.

Allow the Apricot Shortbread Bars to cool completely on a wire rack before slicing.