Portfolio Update

BLACKROCK GREATER EUROPE INVESTMENT TRUST plc
All information is at 31 December 2010 and unaudited.

Performance at month end with net income reinvested
                                 One    Three     One   Three   Since Launch
                               Month   Months    Year   Years    (20 Sep 04)
Net asset value* (Undiluted)   10.3%    11.0%   21.0%   15.6%         134.0%
Net asset value* (Diluted)      8.6%     9.6%   18.5%   13.2%         129.1%
Share price                     7.3%    10.5%   17.3%   13.3%         119.1%
FTSE World Europe ex UK         8.6%     4.6%    5.8%   -1.6%          84.5%
Sources: BlackRock and Datastream

* Net asset value and share price performance includes the subscription share
reinvestment, assuming the subscription share entitlement per share was sold
and the proceeds reinvested on the first day of trading.

At month end                                       
Net asset value (capital only):        209.31p     
Net asset value (including income):    209.81p**   
** Includes net revenue of 0.50p                   
Share price:                           195.75p     
Discount to NAV (capital only):           6.5%     
Discount to NAV (including income):       6.7%     
Subscription share price:               24.50p     
Gearing (including income):               4.7%     
Net yield:                                1.7%     
Total assets (including income):       £213.5m     
Ordinary shares in issue:           96,972,875***  
Subscription shares in issue:       18,977,902     
                                                   
*** Excluding 2,898,166 shares held in treasury.   

Benchmark                                                                      
Sector Analysis    Total Assets   Index (%)  Country Analysis  Total Assets
                            (%)                                         (%)
                                                                               
Industrials                22.7        13.8  France                    24.5 
Consumer Goods             15.8        16.3  Switzerland               19.1 
Financials                 14.7        22.1  Germany                   11.6 
Basic Materials            13.3         8.6  Denmark                    8.6 
Consumer Services          10.1         4.9  Finland                    8.6 
Health Care                 8.9         8.7  Netherlands                5.9 
Oil & Gas                   8.1         9.8  Norway                     3.6 
Technology                  2.8         3.3  Spain                      3.3 
Utilities                   2.8         6.5  Sweden                     3.2 
Telecommunications          0.9         6.0  Portugal                   3.1 
Net current liabilities    (0.1)          -  Russia                     2.3 
                          -----       -----  Israel                     1.9 
                          100.0       100.0  Ireland                    1.8 
                          =====       =====  Czech Republic             0.9 
                                             Turkey                     0.9 
                                             Belgium                    0.8 
                                             Net current liabilities   (0.1)
                                                                      ----- 
                                                                      100.0 
                                                                      ===== 

Ten Largest Equity Investments (in alphabetical order)          
                                                               
Company                            Country of Risk             
Legrand                            France                      
Nokian Renkaat                     Finland                     
Novartis                           Switzerland                 
Novo Nordisk                       Denmark                     
Schneider Electric                 France                      
Société Générale                   France                      
Swatch                             Switzerland                 
Syngenta                           Switzerland                 
Technip                            France                      
Vopak                              Netherlands                 


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

Fund Performance & Attribution
The Company returned 10.3% in December, regaining the losses sustained in
November and continuing to perform better than the reference index, the FTSE
World Europe ex UK Index, which gained 8.6%.

Following November's losses, the European equity markets saw strong gains in
December as concerns over the solvency of the peripheral European countries
experienced a hiatus and investors rotated into more cyclical sectors. In this
context, stocks in the basic materials, industrials and oil & gas sectors all
performed well, and more 'defensive' sectors such as consumer services and
telecoms underperformed the broader market.

The majority of the Company's relative performance in the month was driven by
strong stock selection, particularly within the oil & gas and financials
sectors. The Company also benefited from having higher allocations to the
industrials and basic materials sectors, which led the market gains. The
portfolio's positions in emerging Europe also contributed well to returns, with
positions in the chemicals sector performing particularly well. In a rising
market, the portfolio's gearing helped to magnify the positive returns.

Within the oil & gas sector, two positions within the oil services industry
performed particularly well. CGG Veritas, which operates in the seismic survey
industry, and Technip, which supplies high-technology industrial installations
such as subsea equipment and platforms, both performed well as expectations for
future capital expenditure within the sector continued to rise.

Relative to the reference index, the Company ended the period with higher
relative weightings in the industrials, consumer services and basic materials
sectors and lower relative weightings in the financials, utilities and telecoms
sectors.

Outlook
Looking further into 2011, our outlook for European equities remains positive.
Whilst the peripheral debt concerns within the region have not yet subsided, we
believe that much of the potential downside associated with a peripheral
default is reflected in valuations and, as we have previously mentioned, it is
important to recognise that peripheral Europe is a small part of the European
economy and a smaller part of the Europe ex UK stock market. Indeed, in
contrast with the periphery, we believe that the predominant core and Northern
European region is one of the healthiest parts of the developed world, as
reflected by both rising consumer confidence and strong momentum in the
industrial cycle.

Europe remains under-owned and valuations continue to look compelling: on a
price-to-earnings basis, Europe is currently trading at a 20% discount to its
historical average. The region offers a broad selection of well-managed
companies that are able to access the strongest areas of global growth through
high quality product offerings, and we believe that European equities have the
ability to deliver mid-teens earnings growth in 2011.

17 January 2011


ENDS


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). Neither the contents of the Manager's website nor the contents of
any website accessible from hyperlinks on the Manager's website (or any other
website) is incorporated into, or forms part of, this announcement.