Portfolio Update

MERRILL LYNCH GREATER EUROPE INVESTMENT TRUST plc

All information is at 30 June 2007 and unaudited.
Performance at month end with net income reinvested

                                              One      Three       One         Since launch
                                            Month     Months      Year            (20Sep04)
Net asset value                             -0.7%       7.5%     25.1%                96.5%
Share price                                 -3.2%       2.6%     19.1%                81.0%
FTSE World Europe ex UK                     -1.9%       7.0%     25.8%                84.0%

Sources: BlackRock and Datastream.

At month end                                                                               
Net asset value:                          191.86p    Includes net revenue of 3.02p         
Share price:                              176.50p                                          
Discount to NAV:                             8.0%                                          
Gearing:                                    12.3%                                          
Net yield:                                   1.1%                                          
Total assets:                             £254.0m                                          
Ordinary shares in issue:             119,843,969                                          
                                                                                           
(During the month 4,885,076 shares were purchased and held in Treasury)                   


Benchmark                                                                                               
Sector Analysis                   Total Assets   Index   Country Analysis                  Total Assets 
                                           (%)     (%)                                              (%) 
Financials                                28.0    32.0   Germany                                   24.4 
Basic Materials                           11.2     6.0   France                                    14.2 
Healthcare                                10.3     6.3   Switzerland                               10.4 
Telecommunications                         9.6     5.7   Italy                                      8.0 
Consumer Goods                             8.6    13.3   Spain                                      7.0 
Industrials                                8.5    13.1   Russia                                     4.8 
Oil & Gas                                  8.2     6.6   Netherlands                                4.5 
Utilities                                  7.0     7.3   Turkey                                     4.3 
Consumer Services                          5.4     5.2   Finland                                    4.3 
Other Investments                          3.0       -   Greece                                     4.3 
Technology                                 1.8     4.5   Israel                                     2.7 
Net current liabilities                   (1.6)      -   Norway                                     2.1 
                                                         Poland                                     2.0 
                                                         Austria                                    1.9 
                                                         Sweden                                     1.7 
                                                         Ireland                                    1.7 
                                                         Hungary                                    1.2 
                                                         Luxembourg                                 1.0 
                                                         Cyprus                                     0.9 
                                                         UK                                         0.2 
                                                         Net current liabilities                   (1.6)
                                         -----   -----                                            ----- 
                                         100.0   100.0                                            100.0 
                                         -----   -----                                            ----- 

Ten Largest Equity Investments                                              
Company                                            Country of Risk        
                                                                          
Allianz                                            Germany                
Bayer                                              Germany                
BlackRock Eurasian Frontiers Fund                  Russia                 
DaimlerChrysler                                    Germany                
Electricite de France                              France                 
Intesa Sanpaolo                                    Italy                  
Nokia                                              Finland                
Novartis                                           Switzerland            
OTE (Hellenic Telecommunications)                  Greece                 
Siemens                                            Germany                
                                                                          


Commenting on the markets, James Macmillan, representing the Investment Manager                    
noted:                                                                                             
                                                                                                   
European equity markets experienced some profit taking in June, with the FTSE                      
World Europe ex UK (net) returning -1.9% in GBP terms. Investors were unnerved                     
by rising long term interest rates, widening credit spreads, and signs of                          
financial distress in the US mortgage market.  However, the news flow on                           
economic growth in Europe (particularly in Germany) remained generally upbeat,                     
corporate results were generally strong and the stream of mergers &                                
acquisitions transactions showed no sign of slowing.  Performance in Emerging                      
Europe was positive, with Russia benefiting from strong performance in the oil                     
and gas sector.  The MSCI Emerging Europe returned 6.3%                                            
                                                                                                   
The Company's NAV returned -0.7% during June outperforming the reference index                     
by 1.2%.  The contribution from the Emerging Europe region was positive with                       
strong performance in Turkey, Hungary and Poland.  The use of flexible gearing                     
was negative and the Company suffered from being positively geared in a falling                    
market.                                                                                            
                                                                                                   
During the month, the Company benefited from its exposure to the energy sector                     
which rose against a backdrop of rising energy prices.  The Company's holdings                     
in exploration and production company Statoil, which is highly leveraged to the                    
oil price, performed well, as did refiners PKN and MOL which were also boosted                     
by bid speculation in the sector.  The Company also benefited from selected                        
holdings in the utility, pharmaceutical and household and personal product                         
sectors.  The stocks which detracted from performance were mainly found in the                     
financial sector, especially banks, which continued to struggle in an                              
environment of a slowing US economy, rising interest rates and slowing loan                        
growth.                                                                                            
                                                                                                   
During the month the Company increased its exposure to the car sector through                      
the purchase of a holding in DaimlerChrysler, and continued to build a position                    
in Greek telecommunications company OTE.  This was partially funded by reducing                    
exposure to banks through the sale of holdings in Danish bank Danske and                           
Italian bank Banca Popolare.                                                                       
                                                                                                   
The Company continues to have a bias towards financials, through banks, along                      
with pharmaceuticals, materials and energy.  Exposure to Emerging Europe                           
increased during the month to finish at 15.0%, with key country exposures being                    
Turkey, Russia and the BlackRock Eurasian Frontiers Hedge Fund. During the                         
month the Company increased its net market exposure to 112.3%.                                     
                                                                                                   
We remain positive on the prospects for European and Emerging European                             
equities.  Despite increased market volatility and recent problems emerging in                     
US credit we expect global economic growth to remain at long term trend levels                     
and the US to experience a slowdown rather than a hard landing.  In Continental                    
Europe we anticipate the upcoming Q2 results season to show continued corporate                    
strength, with earnings growth and profits driven by strong domestic demand, as                    
well as robust global export demand from China and emerging markets.  We                           
believe a combination of strong earnings growth and attractive valuations                          
should allow the market to make progress against what may be a more challenging                    
international backdrop.                                                                            
                                                                                                   
Latest 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).                                                                                         
                                                                                                   
23 July 2007