Based on the M band wavelet transform, the properties of wavelet coefficient are analyzed. And a new scheme for image compression is proposed by using the M band wavelet transform and human visual properties. The experiment results show that the algorithm is simple, reliable and very useful for image compression. Based on the M band wavelet transform, the properties of wavelet coefficients are analyzed. And a new scheme for image compression is proposed by using the M band wavelet transform and human visual properties. The experiment results show that the algorithm is simple, reliable and very useful for image compression.