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The number of holidaymakers shot up from 10,249 last January to 12,002.

Last night Tourism Minister David Dodwell said: "I am very heartened. I think it's a sign that we have seen opportunities to build on the wintertime and it seems to be happening.'' He added he expected February's figures also to show an improvement on 1996.

"I'm cautiously optimistic for the rest of the year.'' Some 8,376 came this January from the United States -- a 15.9 percent increase on last year.

And 1,858 flew in from Canada, 4.3 percent higher than last January.

Figures for the other tourism sources -- with increases over last January in brackets -- include: United Kingdom, 737 (11.8); Europe, 374 (53.3); and the rest of the world, 657 (92.7).

The number of bednights for this January was 81,257, 7.1 percent higher than last year. But the average stay for the month dipped by 0.6 percent.

According to an Airport study, visitors said the likelihood of them returning to the Island was quite high.

Some 81 percent indicated they were "very likely'' to return, with 49 percent claiming they were "very likely'' to do so in the next year or so.

Less than 57 percent of North American visitors rated Bermuda as "one of the best possible places for a vacation''.

This represented a significant decline for the second year in a row.