The number liquidations in May increased by 6,8% year-on-year to 283, while the total number of liquidations recorded between January and May had now increased to 1 640, Statistics South Africa (Stats SA) reported on Monday.

This 36,8% increase over the past five months was owing to a 39,1% increase in voluntary liquidations to 1 483 and an 18% increase in compulsory liquidations to 157.

In comparison with the first five months of 2008, company liquidations increased by 43,5% to 752 and close corporation liquidations rose by 31,6% to 888.

A total of 113 businesses in the manufacturing sector had been liquidated in the five-months period of which 34 had occurred in May.

The wholesale and retail trade, catering and accommodation industry had seen 513 liquidations in the past five months, while the financing, insurance, real estate and business services sector had seen 681 liquidations between January and May.

The mining and quarrying industry had contributed to seven of the liquidations in the five-month period, with one company being liquidated in May.

Meanwhile, the country's insolvencies declined by 23,6% to 282 in April, while insolvencies for the first four months of the year were down by 2,1% to 979, Stats SA stated.