Combine all the dough ingredients and knead into a smooth and elastic dough. Place into a bowl, cover, and let rise for 1-2 hours.
While the dough is rising, make the pesto: add all the pesto ingredients into a food processor and blend until smooth. If needed, add some more water to help with blending.
Once the bread dough has doubled in volume, punch it down and divide it into 4 equal pieces.
On a piece of baking paper, roll one piece into a large thin circle, then spread on 2-3 tablespoons of pesto. Leave about 1/2 inch to the edge of the circle bare.
Roll out another piece of dough and stack it on top of the original piece, and spread 2-3 tablespoons of pesto over the top piece. Repeat this step (stacking and spreading pesto) for the remaining dough, but leave the top circle bare.
Gently flatten the stack of dough with a rolling pin, and place a small glass over the center of the circle. Slice the dough into 16 strips starting from the edge of the glass.
Take two adjacent strips of dough, then twist them and pinch together the ends. Repeat for the remaining strips.
Place the loaf and its parchment paper on a baking sheet. Cover the loaf and let it rest for 30-45 minutes, or until risen 1.5x to 2x in volume.
When the dough is ready, brush it with some olive oil. Bake at 350F / 180C for 30 minutes, or until golden brown.
Notes
*Alternatively, use pine nuts, almonds, or walnuts; toasted.