Portfolio Update

Baring Emerging Europe PLC announces that as at 31 December 2007 its ten
largest investments were as follows :

                             % of Total Assets

Gazprom                            10.14

Sberbank                            9.03

Lukoil Holdings                     6.82

Mobile Telesystems                  5.58

JSC MMC Norilsk                     4.27

Vimpelcom                           4.25

CEZ                                 4.10

RAO Unified Energy                  3.10

Evraz Group                         2.89

Turkiye Garanti Bankasi             2.50


The geographic breakdown as at 31 December 2007 was as follows:

                                     %

Russia                             59.93

Turkey                             14.93

Poland                              8.28

Czech Rep                           5.17

Hungary                             4.16

Kazakhstan                          2.10

Other                               4.36

Cash and Equivalents                1.07

                                  100.00