In a 2024 Standing Committee on the Auditor-General meeting in Parliament, the Auditor-General (AG) noted that government departments had misspent R14 billion through material irregularities and, in more than five years, only about 8% of that amount has been recovered. Between the 2018/2019 and 2022/2023 financial years there were 266 material irregularities on non-compliance and suspected fraud reported. Financial irregularities remain a persistent challenge in the South African government. These irregularities undermine the effective use of public resources and erode public trust in government institutions. Critically assess the key factors that contribute to these financial irregularities by considering the role of governance, internal controls, procurement practices and oversight mechanisms. In your response you should note how these factors interact to create an environment conducive to financial mismanagement. Please ensure that you use practical examples to substantiate your answer.