Portfolio Update

MERRILL LYNCH GREATER EUROPE INVESTMENT TRUST plc

All information is at 31 January 2008 and unaudited.

Performance at month end with net income reinvested

                             One      Three        One    Since Launch
                           Month     Months       Year       (20Sep04)
Net asset value           -12.2%     -10.9%      -0.9%           77.8%           
Share price               -11.4%     -12.1%      -0.5%           71.4%           
FTSE World Europe ex UK   -11.0%     -10.2%       2.0%           70.1%           
Sources: BlackRock and Datastream

At month end                                                
Net asset value (capital only):                      171.47p
Net asset value (including income):                  171.40p*
Share price:                                         165.00p
*Includes net revenue of 0.07p                              
                                                            
Discount to NAV (capital only):                         3.8%
Discount to NAV (including income):                     3.7%
Gearing:                                                5.4%
Net yield:                                              1.5%
Total assets:                                        £208.7m
Ordinary shares in issue:                        115,117,791


Benchmark
Sector Analysis       Total Assets   Index (%)    Country Analysis    Total Assets
                               (%)                                          (%)
                                                                               
Financials                    28.1        28.1    Germany                     19.6
Health Care                   10.7         6.9    France                      15.4
Basic Materials                9.4         6.9    Switzerland                 12.6
Utilities                      9.3         8.7    Italy                       10.6
Consumer Goods                 8.2        13.8    Netherlands                  7.2
Telecommunications             7.4         7.3    Spain                        5.2
Oil & Gas                      7.3         6.2    Finland                      4.8
Technology                     6.1         4.4    Russia                       4.0
Industrials                    5.9        12.6    Emerging Europe              4.0
Consumer Services              3.3         5.1    Turkey                       3.7
Other Investments              4.1           -    Belgium                      2.2
Net current assets             0.2           -    Greece                       1.9
                                                  Austria                      1.7
                                                  Ireland                      1.6
                                                  Norway                       1.4
                                                  Luxembourg                   1.1
                                                  Poland                       1.0
                                                  USA                          1.0
                                                  Israel                       0.7
                                                  UK                           0.1
                                                  Net current assets           0.2
                             -----       -----                               -----
                             100.0       100.0                               100.0
                             =====       =====                               =====


Ten Largest Equity Investments                                                 
Company                                      Country of Risk                       
                                                                               
Banco Santander                              Spain                                
Bayer                                        Germany                              
BlackRock Eurasian Frontiers Hedge Fund      Emerging Europe                      
Electricite de France                        France                               
ENI                                          Italy                                
Intesa Sanpaolo                              Italy                                
Nokia                                        Finland                              
Novartis                                     Switzerland                          
Roche                                        Switzerland                          
Siemens                                      Germany                              


Commenting on the markets, James Macmillan, representing the Investment Manager
noted:

European equity markets fell further in January with the FTSE World Europe ex
UK Index (NDR) posting a decline of -11.0% in Sterling terms. Investors showed
increasing concern that the US sub-prime crisis would negatively impact both
economic and corporate growth in Europe. The most significant piece of news was
the recognition by the US Federal Reserve and Government that the US economy
was in need of support. This was delivered by a 0.75% rate cut on 22 January in
an emergency session quickly followed by a further 0.50% cut on 31 January. The
European Central Bank failed to follow the Fed's lead and kept borrowing costs
at a six year high. Emerging Europe marginally outperformed the developed
European markets but the MSCI Emerging Europe still posted a decline of -10.7%
throughout January in Sterling terms as investors continued to be more cautious
about the de-coupling of emerging and developed economies.

The Company's NAV returned -12.2% underperforming the reference index. The
contribution from the Emerging Europe region was marginally negative, with the
benefit to the Company from its holding in the BlackRock Eurasian Frontiers
Hedge Fund and also successful stock selection in Israel failing to offset the
falls in Poland, Russia and Turkey. The Company's performance was adversely
impacted by positive gearing in a falling market.

During the month, the Company benefited from its exposure to defensive sectors,
in particular Pharmaceutical stocks, Teva Pharmaceutical Industries and
Roche, and Health Care stocks, Fresenius and Nobel Biocare, all delivering
strong performance. Within the Technology sector companies, Capgemini, Ness
Technologies and Nokia also boosted performance. Other positive contributors
included selective investments in Real Estate, Capital Goods and Technology.

The stocks which detracted from performance included our holdings in the
Materials sector, including chemical company Lanxess and, in the Energy sector,
Surgutneftegaz, as investors shied away from cyclical exposure. In addition,
stock selection in the Materials, Consumer Durables & Apparel and Food,
Beverage & Tobacco sectors was negative.

During the month, the Company reduced its holdings in the Chemical, Mining,
Utility and Pharmaceutical sectors. The sales proceeds were used to increase
holdings in Financials through the purchase of shares in Bank, BNP Paribas and
Insurance company, Zurich Financial Services Group and Telecoms, through 
Telecom Italia.

The Company continues to have a bias towards financials, through Banks and Real
Estate, along with Health Care, Materials and Technology. Exposure to Emerging
Europe decreased during the month to finish at 13.4%, with the largest country
exposures being Turkey and Russia, along with the BlackRock Eurasian Frontiers
Hedge Fund which provides diversified exposure to the region. During the month
the Company slightly increased its net market exposure to 105.4%.

We remain positive on the prospects for European and Emerging European
equities. Global economic growth is clearly moderating in response to a weaker
US economy and the impact of higher credit costs, but central banks are
determined to ensure stability in the world financial system by applying the
appropriate monetary measures. At current prices, stocks carry attractive
valuations and, we believe, will begin to respond positively once markets look
forward to a resumption of stronger growth.

Latest information is available by typing www.blackrock.co.uk/its on the
internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV
terminal).

25 February 2008