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In this paper, we propose a novel image interpolation algorithm, which is formulated via combining both the local autoregressive (AR) model and the nonlocal adaptive 3-D sparse model as regularized constraints under the regularization framework. Estimating the high-resolution image by the local AR regularization is different from these conventional AR models, which weighted calculates the interpolation coefficients without considering the rough structural similarity between the low-resolution (LR) and high-resolution (HR) images. Then the nonlocal adaptive 3-D sparse model is formulated to regularize the interpolated HR image, which provides a way to modify these pixels with the problem of numerical stability caused by AR model. In addition, a new Split-Bregman based iterative algorithm is developed to solve the above optimization problem iteratively. Experiment results demonstrate that the proposed algorithm achieves significant performance improvements over the traditional algorithms in terms of both objective quality and visual perception.