To get lukewarm water/milk microwave a cup of the liquid at medium temperature for 8-10 seconds. Please check that the liquid is not boiling hot or else it will kill the yeast. It should just be warm to touch.
Put all the ingredients including milk but excluding water and olive oil in a big mixing bowl and stir well.
Add lukewarm water little by little to your mixing bowl and mix till you get a shaggy dough. Be careful while adding water. Don't add the entire quantity at one go. It needs to be a slightly sticky dough (not of pourable consistency like cake batter).
Transfer this dough to a kneading surface and knead for 10 – 12 minutes using the stretch and pull method. You can add the oil little by little and just knead it in. The dough will be sticky. Don't be tempted to add too much flour. If it's really unmanageable, then you can sprinkle some flour on the surface. Keep kneading till the dough turns into a smooth, soft dough.
Form this dough in the shape of a ball, tucking the ends beneath. Place it in a well oiled bowl and move the dough around a bit so that it gets oiled as well. Cover the bowl with a damp cloth or with a cling wrap and keep it in a warm place. Allow it to double in size (usually takes an hour).
Once the dough has doubled, gently punch it to release all the gases and knead it for a minute or two.
Roll out the dough in the shape of a rectangle and then fold it tightly like a log.
Seal the ends well.
Place the log in a well oiled loaf pan. Apply a little milk or oil on top so that it doesn't dry out. I have used an 9*3.5 inch tin here. Grease the inner side of the lid with butter/oil and cover the loaf pan. Let the dough rise till it has reached almost an inch below the brim of the tin. You can check this by opening the lid slightly after 20-25 minutes and then close the pan again.
Once the dough has risen to an inch below the brim, begin preheating your oven to 180 degrees Celsius for 10 minutes. Bake the bread with the lid on for around 25 minutes. Thereafter, gently remove the lid and bake for another 10-15 minutes. If the top of the loaf starts to brown too much, just cover it with the lid/ aluminium foil again.
Remove the bread from the oven and apply butter on top. After 4-5 minutes take it out of the tin and allow to cool on a wire rack for 2-3 hours before slicing it.
Slice and serve!