I'd go for the small digital... I made the mistake of bringing a SLR and regretted having the camera bag hanging off me all the time, I had to carry it full time as I had no room in my backpack and i wouldn't have trusted packing it in a rucksack anyway as it could have gotten damaged or stolen when it's stuck in bus holds etc.,.... i think it makes you more of a target for robbery as well.. a small digital would be way more handy and if something happens to it you wouldn't be cursing yourself!
I would be looking for something small. Other benefits would be shock proof/weather proof, and something which took regular AA batteries (rather than having to carry a large adapter & plugs for every country! This looked nice on [broken link removed]don't think it takes AA batteries though)
I have a DSLR, but, checked out the Panasonic TZ3 as a pocket (biggish pocket admittedly!) camera for hill walking, gigs etc. 10 x Optical zoom and 28mm wide angle Leica lens. It's a bit expensive, but, looks a good compromise. I haven't bought yet.