The latest economic update from the Federal Reserve Board's 12th District says economic activity has weakened in the region, including a significant drop in tourism in Hawai'i.

The so-called Beige Book is issued roughly every six weeks and is a roundup of anecdotal economic reports in the nine western states and two Pacific territories that make up the 12th District. The report said activity was off during the September-to-early October period, with sluggish retail sales, lower demand for services and anemic housing markets.

It also noted that financial institutions in the region reported a decline in loan demand and credit quality, and a drop in credit availability.

"Credit availability declined significantly as banks and other financial institutions faced rising difficulties securing short-term funding," the report said. "Contacts also pointed to higher delinquency rates in all loan categories."

It also noted a drop in tourism.

"Contacts noted modest declines in tourist activity in some major tourist destinations in the district, such as Southern California and Las Vegas; the drop was more significant in Hawai'i and was accompanied by layoffs there," the report said.