In　this　paper,　a　novel　image　compression　approach　for　low-bit-rate　applications　is　proposed.　Our　algorithm　combines　both　super-resolution　techniques　and　compression　techniques　so　that　a　higher　compression　rate,　with　satisfactory　visual　quality,　can　be　achieved.　In　the　coding　process,　the　down-scaled　version　of　the　input　image　is　divided　into　blocks,　and　each　block　is　classified　as　either　a　textural　block　or　a　flat　block.　For　the　flat　blocks,　a　skipping　scheme　is　employed　in　the　compression　process　so　as　to　save　the　bits.　The　coding　of　the　skip　blocks,　identified　by　the　skipping　scheme,　will　make　reference　to　the　reconstructed　regions　of　the　image　in　the　encoding　process.　For　the　textural　blocks,　the　standard　JPEG　coding　method　is　employed.　In　the　decoding　process,　the　decompressed　image　is　up-scaled　using　a　super-resolution　algorithm.　Experimental　results　show　the　superior　performance　of　our　method　in　terms　of　both　compression　efficiency　and　visual　quality.