In this paper, we present a graph-theoretic interpretation of convergence o
f fractal encoding based on partial iterated function system (PIFS), First
we have considered a special circumstance, where no spatial contraction has
been allowed in the encoding process. The concept leads to the development
of a linear time fast decoding algorithm from the compressed image. This c
oncept is extended for the general scheme of fractal compression allowing s
patial contraction (on averaging) from larger domains to smaller ranges. A
linear time fast decoding algorithm is also proposed in this situation, whi
ch produces a decoded image very close to the result obtained by an ordinar
y iterative decompression algorithm.