Place the flour, salt and baking powder in a large bowl.
In a separate bowl cream together the sugar, egg and butter until smooth. Mix the powdered milk, water and vanilla into the batter stirring until well blended. Pour the batter into the flour and beat until smooth.
Spread the batter into a greased 20cm square cake tin and sprinkle the diced apricots evenly over the top. Dust with cinnamon and sugar.
Bake in the preheated oven approximately 45 minutes or until a toothpick inserted into the centre of the cake comes out clean.