Portfolio Update

BLACKROCK GREATER EUROPE INVESTMENT TRUST plc

All information is at 31 July 2008 and unaudited.

Performance at month end with net income reinvested

                             One     Three       One         Since
                           Month    Months      Year        Launch
                                                       (20 Sep 04)
Net asset value            -2.3%     -6.4%     -9.3%         72.0%
Share price                -1.6%     -8.9%    -10.9%         59.4%
FTSE World Europe ex UK    -1.8%    -10.8%     -7.6%         64.7%

Sources: BlackRock and Datastream

At month end                                       
Net asset value (capital only):             162.01p
Net asset value (including income):         165.78p*
* includes net revenue of 3.77p                    
                                                   
Share price:                                153.50p
Discount to NAV (capital only):                5.3%
Discount to NAV (including income):            7.4%
Gearing (capital only):                        2.7%
Net yield:                                     1.6%
Total assets:                               £191.5m*
Ordinary shares in issue:               112,388,958**
                                                   
* includes current year revenue.                   
** excluding 2,728,833 shares held in treasury.    

Benchmark                                                                      
Sector Analysis       Total Assets   Index (%)  Country Analysis    Total Assets
                               (%)                                          (%)
                                                                               
Financials                   22.5         26.4  Switzerland                21.9 
Industrials                  13.4         12.6  Germany                    21.2 
Health Care                  13.1          7.8  France                     18.3 
Oil & Gas                    10.9          7.2  Netherlands                 6.6 
Utilities                    10.7          9.2  Norway                      5.0 
Basic Materials               9.5          7.9  Italy                       5.0 
Telecommunications            5.8          6.4  Emerging Europe             4.2 
Consumer Services             5.5          4.7  Russia                      3.3 
Consumer Goods                4.9         13.7  Greece                      2.7 
Technology                    1.9          4.1  Denmark                     2.4 
Other Investments             4.2               Spain                       2.4 
Net current liabilities      (2.4)              Finland                     2.2 
                            -----        -----  Cyprus                      2.1 
                            100.0        100.0  Ireland                     1.8 
                            =====        =====  Poland                      1.7 
                                                USA                         0.8 
                                                Turkey                      0.6 
                                                Israel                      0.2 
                                                Net current liabilities    (2.4)
                                                                          ----- 
                                                                          100.0 
                                                                          ===== 

Ten Largest Equity Investments                                 
                                                               
Company                                    Country of Risk    
         
Allianz                                    Germany                     
ArcelorMittal                              Netherlands                 
Bayer                                      Germany                     
BlackRock Eurasian Frontiers Hedge Fund    Emerging Europe             
E.On                                       Germany                     
Nestle                                     Switzerland                 
Novartis                                   Switzerland                 
Roche                                      Switzerland                 
StatoilHydro                               Norway                      
Zurich Financial Services                  Switzerland                 

Commenting on the markets, Vincent Devlin, representing the Investment Manager
noted:

The FTSE World Europe ex UK Index (NDR) fell by -1.8% (Sterling terms) in July.
Investors in the markets saw a reversal of fortunes as the sharp sell off in
the early part of July was reversed mid-month and many of the major markets in
Europe ended the month little changed. The spike and subsequent reversal in the
oil price from an all time high of over $145/barrel may have been instrumental
in the market's turnaround and will have helped to calm inflationary fears to
some extent. Financials performed well as sentiment towards the sector has
taken a turn for the better on the grounds that many of the banks have taken
sufficient write-offs and raised capital to restore balance sheets, and as a
result are in a stronger position to withstand the challenges of a weaker
economic environment. The Energy and Materials sectors trailed significantly,
where high prices, particularly in oil and related derivative products, had
started to choke off demand, and which could see further weakness if global
economic growth continues to deteriorate.

Emerging Europe underperformed the developed European markets with the MSCI
Emerging Europe posting a drop of -6.8% through July in Sterling terms. The
region was hampered by the high weighting of commodities in the indices as they
sold off during the month. In addition, inflationary pressures continue to
cloud the prospects for economic growth.

The Company's NAV returned -2.3% underperforming the reference index. The
contribution from the Emerging Europe region was negative, with the benefit to
the Company from its exposure to Turkey, Poland and Israel failing to offset
the falls in Russia and the negative return made by the BlackRock Eurasian
Frontiers Hedge Fund. The Company's positive gearing made a small contribution
to performance this month.

During the month, the Company benefited from its exposure to the Health Care
and Industrials sectors and lack of exposure to the underperforming Consumer
Staples and Materials sectors. The Health Care sector was favoured by the
market during the month, and as a consequence the Company's positive bias to
this sector was very beneficial with Novartis and Icon contributing the most to
performance. Industrial company, Siemens, made gains after posting good results
that showed improving profitability, a strong order book and progress on the
restructuring process. Elsewhere media company, Vivendi, was the biggest
contributor to performance riding off the expectation of strong results.
Several financials contributed positively to performance as the market
underwent a sector reversion, notable names included Bank of Cyprus, Credit
Suisse and BNP Paribas. Weak performance came from within the Energy and
Telecoms sectors. Energy underperformance was broad based as the market
rotation went against this sector. Telecom Italia's fall on expectations of
weak results was the main negative contribution in the Telecoms sector.

During the month, the Company reduced its holdings in the Capital Goods,
Energy, Telecom and Materials sectors. The proceeds were used to add to select
Financials including new positions in UBS and Societe Generale; Consumer
Discretionary was topped up with an increased exposure to OPAP; and the
weighting in Pharma was also increased by adding to Novartis and Roche.

The Company has maintained a bias towards Health Care and Industrials. The
exposure to Utilities has been revised down. The Company continues to avoid the
Financials and Consumer related sectors but has been gradually rebuilding
positions in select names. Exposure to Emerging Europe was reduced during the
month to finish at 10.0%, with the largest country exposure being Russia, along
with the BlackRock Eurasian Frontiers Hedge Fund which provides diversified
exposure to the region. During the month the Company marginally increased its
net market exposure to 102.7%.

Despite the looming risk of recession, the European Central Bank (ECB) remains
focused on inflation and increased interest rates to 4.25% in early July. EU
wide inflation is now standing at over twice the ECB's target having increased
to 4.1%. Business confidence across Europe took a further turn for the worse as
companies struggled to cope with increasing input costs and a stronger
currency. Industrial production in France, Italy and Germany declined in May,
falling by more than expected with exports sharply down in the Euro region's
two leading economies, as exporters suffered from the strong currency and
weaker global demand. Interest rates in the UK were held at 5%, but the minutes
of the Bank of England Monetary Policy Committee revealed a split of opinion
with, unusually, one member voting for a decrease and one a rate rise.

Economic data continues to reflect a negative backdrop for inflation and
economic growth. Consensus earnings growth expectations continued to decline
for 2008, now at 1.8% (6.9% in March 2008) putting the market on a P/E 10.8x
and a dividend yield at 4.3%. Given this difficult backdrop, we continue to
focus on companies with a combination of strong balance sheets including low
leverage, strong cash generating business models and an ability to pass on
price increases or cut costs. European valuations continue to look cheap on a
relative and historic basis - as a long term investor we believe these are good
entry level opportunities.

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).

20 August 2008