fragile economic recovery.

The final three months of 1992 showed holidaymakers were dipping further into their pockets.

But over the year visitors forked out $10 million less than 1991.

And figures show fewer people last year spent their holidays in the big hotels.

Instead, visitors preferred to stay in small accommodation.

The trends are revealed in Government's quarterly bulletin of statistics.

Last year $443 million was splashed out by visitors, compared to $455.6 million in 1991.

The difference is even broader when set against the 1990 figure of $490.1 million.

Most of last year's expenditure -- $256.8 million -- went on accommodation and food.

The amount spent on shopping, entertainment, and transport came to about $153.7 million.

And spending by cruise ship passengers rose slightly to $32.5 million, reflecting an increase in arrivals.

Finance Minister the Hon. David Saul yesterday underlined the fourth quarter improvement.

Expenditure in October, November, December rose from $88,400,000 to $92,400,000.

This meant an increase in per capita spending, getting nearer the level for 1990.

It signalled well for the economy -- although it was wrong to read too much into one quarter.

"We are holding our breath, hoping this year's first quarter which has just ended will also show improvement.

"We really need to have the figures for two quarters to make any assessment.'' Dr. Saul said the spending improvement was mirrored by other economic factors, suggesting a growth in consumer confidence.

A Finance Ministry spokesman said the 1992 overall downturn in spending was not unexpected.

The average length of stay by visitors had shrunk slightly, and householders were keeping tight budgets.

"Household accounts have been severely compressed in the United States,'' the spokesman said.

He added spending per capita by air visitors had slipped $4 per capita from $1,100 to $1,096.

But this was no cause for alarm, particularly with the fourth quarter improvement. "It does show we have got to get more tourists, of course, but we have also got to encourage them to spend more.

"It shows the importance of being competitive, and giving tourists a reason to spend.''