Interim Results - 6 Months to 29 February 2000

Scottish Oriental Smlr Co Tst PLC
23 March 2000


            THE SCOTTISH ORIENTAL SMALLER COMPANIES TRUST PLC

Preliminary Results (Unaudited) for the six months to 29th February 2000
                                    
The Board of The Scottish Oriental Smaller Companies Trust plc is
pleased  to  announce  the results for the  six  months  to  29th
February 2000.
                                    
These  results  are  presented in a format which  summarises  the
information  which  will  be  given in  the  forthcoming  Interim
Report.

SUMMARY STATEMENT OF TOTAL RETURN   Six months to     Six months to
(Unaudited)                         29th February    28th February 
                                         2000               1999
                                        £'000              £'000    
                                                                 
Dividends                                 408                229      
Interest on deposits                       13                 13       
                                          421                242
Investment management fee                (129)               (81)
Loan interest payable                     (26)                -               
 Other expenses                            (85)               (63)    
Income before tax                         181                 98       
Tax                                       (46)               (19)     
                                          135                 79       
Return attributable to                                                
shareholders
(undiluted):                                                          
Income                                    135                 79       
Capital                                 3,189              3,806    
Total                                   3,324              3,885    
                                                                      
Per share                                                             
Income                                   0.53p              0.31p    
Capital                                 12.52p             14.95p   
Total                                   13.05p             15.26p   




SUMMARY BALANCE SHEET                    As at             As at
(Unaudited)                         29th February     31st August 1999
                                         2000               (1)
                                        £'000              £'000
                                                                   
Total investments                      29,348             26,789    
Net current liabilities                (1,365)            (2,130)
Shareholders' funds                    27,983             24,659    
                                                                      
Net asset value per share - undiluted  109.88p (2)         96.83p    
                                                                       

(1)   The position as at 31st August 1999 is an abridged version of that
   contained  in  the  full accounts for that year,  which  received  an
   unqualified audit report and which have been filed with the Registrar of
   Companies.
(2)   Including Revenue Reserve uplift for the 6 months to 29th February
   2000 (see note overleaf).

BOARD STATEMENT

Investment Performance

In  the  six months to 29th February 2000, Scottish Oriental's undiluted
net  asset value per share rose 12.9% to 109.35p.  This compares with  a
sterling-adjusted  increase of 6.3% in the SG Asian (ex  Japan)  Smaller
Companies  Index and an increase of 12.2% in the MSCI AC Asia  Free  (ex
Japan)  Index.   Whilst  the  share price  appreciation  was  relatively
disappointing, up only 4.6%, this was partially offset by the 29.8% rise
in  the  warrant price resulting in a combined return of  6.1%  for  the
original  share/warrant package.  Performance compares  favourably  with
the 1.7% return from the FTSE All-Share Index over the six month period.

The  Trust's  encouraging performance, relative to its benchmark  Index,
largely reflects its overweight position in Hong Kong.  Stock selection,
particularly the Trust's exposure to the internet/e-commerce sector, was
also a positive factor.

Review

The  rise in Asian stockmarkets over the six months ending February 2000
reflected  the improved economic fundamentals, which encouraged  foreign
investors  to  increase their exposure to the Region.   Local  investors
were also active, particularly in Hong Kong which benefited from the 
successful placing  of  the
Exchange Fund's stockmarket investments, as well as from China's  likely
inclusion  in  the  World Trade Organisation.   Malaysia  was  the  best
performing  market  over  the period as investors  anticipated  its  re-
inclusion in some MSCI Indices later this year.  Telecommunications  and
technology were the favoured sectors throughout the Region.

Outlook

The Asian economic recovery is now well established, supported by strong
exports  and  accelerating domestic consumption.   Excess  capacity  and
relatively  subdued domestic demand will limit medium term  inflationary
pressures, with the possible exception of Korea.  Interest rates  should
therefore  remain  low.  Restructuring of the banking  sectors  in  many
countries  in  the  Region needs to be progressed.   However,  corporate
governance is improving.

The  risks to the above scenario are four fold.  Regional exports remain
dependant  on  the  European economic recovery,  strengthening  Japanese
demand  and  the  USA sustaining present consumption  levels.   Currency
stability  cannot be taken for granted and substantial yen  weakness  or
strength  could still pose serious difficulties.  There is a substantial
supply  of  new  issues  coming to the markets this  year,  which  could
overwhelm   demand.    Finally,   having   succumbed   to   the   global
euphoria on internet-related, technology and telecom stocks,
the Region will not be immune when the sector is re-valued.

The  Region offers exceptional value from a global perspective.  Smaller
companies  look  particularly attractive, given  their  strong  earnings
outlook.   Local retail investors, particularly in Hong Kong and  Korea,
have  been encouraged back into the equity markets by low deposit  rates
and   successful  new  issues  from  the  technology/internet/e-commerce
sectors.   However one views the valuations currently being accorded  to
these  sectors,  the enthusiasm with which Asia has  embraced  the  'new
economy' must be to its long-term advantage.

Borrowing

As  mentioned  in  the  Annual Report, Scottish Oriental  borrowed  £2.6
million  in  yen, which currently represents 10.4% of net assets.   This
should  continue to give the Trust the advantages of gearing.

Dividend

An  unchanged  dividend of 0.85p per share (equivalent  to  1.0625p  per
share  gross)  was  paid on 21st January 2000 for the year  ending  31st
August  1999.   Notwithstanding the Trust's exercise  of  its  borrowing
powers  and  increased  focus  on  lower  yielding  shares,  your  Board
currently  envisages  maintaining the dividend.


Summary Data (Unaudited) at 29th February 2000

Shares in issue   25,466,250     Shareholders' Funds      £27.85m
                           
Warrants in issue  4,747,400     Market Capitalisation     20.25m
                                 (excluding warrants)                         

Net   Asset  Value                                               
per share
Undiluted            109.35p     Warrant Price              30.50p
                                 Package Price              85.60p
                                 
Share Price           79.50p     Package equates to one share and
                                 one-fifth of a warrant.
                                                     
Share  Discount to Net Asset     Package Discount to Net Asset
Value                            Value
Undiluted              27.3%     Undiluted                  21.7%

Performance (Unaudited) for the six months to 29th February 2000
Net Asset Value        12.9%     Warrant Price              29.8%
(undiluted)
Share Price             4.6%     Package Price               6.1%
                                                                 
MSCI AC Asia Free      12.2%     SG Asian (ex Japan)         6.3%
(ex Japan) Index (£)             Smaller Companies Index (£)               
                                                             
                  FT-SE-A All-Share Index  1.7%


The  NAV  figures at 29th February 2000 are stated on  a  capital
only basis, and do not include any income retention at that date.
This  is because the Company only pays one dividend per year  for
which no provision has been made at this stage. However, the  NAV
figures  given  with  the Balance Sheet do  include  the  Revenue
Reserve uplift for the period.


Enquiries:
                     Angus Tulloch, Susie Rippingall
                           or Michael Tulloch
                     Stewart Ivory & Company Limited
                              0131 226 3271