This invention provides a technique of easily encoding image data to generate encoded data having high image quality within a target code amount using a small memory capacity by image encoding processing of performing frequency transform and quantization of each pixel block. A frequency transform unit separates image data into low frequency band data and high frequency band data. A coefficient quantizing unit, coefficient encoder, and code amount controller operate to encode the high frequency band data within a predetermined amount. When the encoding processing of the high frequency band data has ended, the quantization parameter of the low frequency band data is set based on the generated code amount of the high frequency band data. A coefficient quantizing unit, coefficient encoder, code amount detector, and quantization parameter updating unit operate to encode the low frequency band data into codes within a low frequency band target code amount.