A fast algorithm is presented to solve for the scattered field of a two-dimensional, dielectric-coated conducting cylinder using a hybrid of a combined field surface integral equation and volume integral equation. The fast algorithm is an extension of the fast multipole method and it relies on the translation of scattering centers to speed up the matrix-vector multiplication in the conjugate gradient method. The scatterer is first divided into many subscatterers. Instead of directly computing the matrix-vector multiplication, which needsN2multiplications, an efficient approach is used to reduce the floatingpoint operation count required. The algorithm has a computational complexity ofO(N1.5).