Abstract: The lossless compression is that allows the original data to be perfectly reconstructed from the compressed data. The main objective of image compression is to decrease the redundancy of the image data which helps in increasing the capacity of storage and efficient transmission. . Image compression plays an important role in computer storage and transmission. The purpose of data compression is that we can reduce the size of data to save storage and reduce time for transmission. Image compression is a result of applying data compression to the digital image. The paper presents a lossless image compression technique using the hybridization of two different entropy coding techniques. Initially data folding technique has been applied to the image. A row folding is applied on the image matrix followed by a column folding. Multiple iterations of this process is applied on the image. After completing the data folding process another entropy coding technique known as arithmetic coding has been applied to the resultant image to get better results.

Keywords: Lossless image compression, data folding, arithmetic coding, compression ratio.