Combine the warm water, sugar, and active dry yeast in a small bowl or jug. Stir gently to dissolve the sugar. Let this mixture sit undisturbed for 8 to 10 minutes until foamy.

In a large mixing bowl, whisk together the flour, salt, and baking powder. Make a well in the center, then pour in the foamy yeast mixture, yogurt, olive oil, and egg. Stir until a shaggy dough forms.

Knead the dough on a lightly floured surface for 8 to 10 minutes until smooth and slightly tacky. Add flour if necessary, but keep it slightly sticky.

Lightly oil a mixing bowl, place the kneaded dough inside, and cover with plastic wrap or a damp towel. Let it rise for 1 hour in a warm spot until doubled in size.

Punch down the dough, divide it into 8 equal pieces, and roll each into a smooth ball. Roll each ball into an oval or teardrop shape about 6 to 8 inches long.

Heat a cast iron skillet or heavy pan over high heat. Brush with oil or butter. Cook each naan for 60 to 90 seconds on one side until golden, then flip and cook the other side.

Remove from pan and brush with garlic butter immediately. Keep warm by covering with a towel.