Portfolio Update

BLACKROCK GREATER EUROPE INVESTMENT TRUST plc
All information is at 31 December 2011 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)   -0.9%      4.1%   -17.2%    26.1%          93.8%
Net asset value* (Diluted)     -0.9%      4.1%   -15.4%    26.1%          93.8%
Share price                    -2.9%     -1.4%   -16.7%    25.5%          82.6%
FTSE World Europe ex UK        -1.5%      3.3%   -14.7%     8.3%          57.3%
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):        167.96p
Net asset value (including income):    167.96p
Net asset value (capital only)**:      167.96p
Net asset value (including income)**:  167.96p
Share price:                           163.13p
Discount to NAV (including income):       2.9%
Discount to NAV (including income)**:     2.9%
Subscription share price:                6.75p
Gearing (including income):                Nil
Net yield:                                2.2%
Total assets (including income):       £159.4m
Ordinary shares in issue:           94,873,100***
Subscription shares in issue:       18,342,725

**  Diluted for subscription shares.
*** Excluding 2,734,952 shares held in treasury.

Benchmark
Sector Analysis  Total Assets (%)  Index (%) Country Analysis  Total Assets (%)

Consumer Goods              27.6       17.6  Switzerland                  21.3
Health Care                 16.8       11.7  France                       15.4
Industrials                 15.7       13.6  Germany                      14.0
Financials                  11.3       19.1  Netherlands                  10.5
Consumer Services            8.9        5.0  Denmark                       5.6
Oil & Gas                    6.3       10.0  Spain                         3.4
Basic Materials              5.1        8.1  Sweden                        3.4
Technology                   2.4        3.3  Norway                        3.0
Utilities                    1.6        5.7  Belgium                       3.0
Telecommunications           0.9        5.9  Ireland                       2.5
Net current assets           3.4          -  Finland                       2.3
                           -----      -----  Italy                         2.2
                           100.0      100.0  Portugal                      2.0
                           =====      =====  Luxembourg                    1.8
                                             Czech Republic                1.6
                                             Kazakhstan                    1.4
                                             Other                         3.2
                                             Net current assets            3.4
                                                                         -----
                                                                         100.0
                                                                         =====

Ten Largest Equity Investments (in alphabetical order)

Company                        Country of Risk
Ahold                          Netherlands
Danone                         France
DnB NOR                        Norway
Fresenius                      Germany
LVMH                           France
Nestlé                         Switzerland
Novo Nordisk                   Denmark
Pernod Ricard                  France
Roche                          Switzerland
Syngenta                       Switzerland

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

Market
During the month, while the sovereign debt issues continued to dominate the
headlines, better US economic data and recent Eurozone summit proposals
provided some positive news. As a result, globally exposed cyclical sectors
such as oil & gas performed best. Defensive areas provided a mixed result with
health care delivering positive returns while telecoms and utilities ended in
negative territory.

Fund Performance & Attribution
During December, the Company's NAV fell by 0.9% and the share price fell 2.9%.
For reference, the FTSE World Europe ex UK Index was down 1.5% during the same
period.

Sector allocation delivered strong results during the month. At a sector level,
lower weightings in the weaker-performing utilities and telecoms sectors
contributed positively to performance. Specifically, avoiding power and gas
company E.ON and telecoms group Telefónica, which cut its dividend forecast,
was rewarding.

Performance from the health care sector was mixed. A higher weighting in the
sector was rewarding, whilst stock selection was detrimental to performance.
Pharmaceuticals companies such as Roche and Novo Nordisk were amongst the top
contributors to performance, although not holding Novartis and Sanofi detracted
from returns when compared to the reference index as both companies performed
well during the month.

A number of holdings in relatively stable, consumer-related businesses proved
successful. In particular, holdings in brewer Anheuser-Busch InBev and food
retailer Ahold both benefited from improving trading conditions in the US. Food
producer Nestlé also rallied following a period of share price weakness.

On a less positive note, within the oil & gas sector, not owning oil major
Total hurt performance. The portfolio was also impacted by stock-specific
disappointment on the sale price achieved by energy company Galp for a stake in
its Brazilian subsidiary. Following concerns over a hard landing in China,
luxury goods companies lagged the market and a holding in LVMH hindered
performance.

During the month, the Company reduced its exposure to insurance through the
sale of the holding in ING. The proceeds were recycled to initiate a new
position in toll-road operator Abertis Infraestructuras.

At the end of the month, the Company had higher weightings (when compared with
the FTSE World Europe ex UK Index) in consumer goods, health care, consumer
services and industrials and lower weightings in financials, telecoms,
utilities, basic materials, oil & gas and technology.

Outlook
Moving into 2012, progress towards a resolution of the European sovereign debt
issues will continue to shape investor sentiment and markets are likely to
remain volatile. Investors are, however, pricing in a significant risk premium
for the current political and economic uncertainties and we believe our
strategy of building positions in the long term winners - companies with highly
differentiated business models, strong balance sheets and structural growth
driven largely by international demand - will deliver attractive returns over
the medium term. Many of these companies' shares have been oversold in 2011 as
the global economy has slowed but have started to benefit in Q4 from improving
US macro data and continued demand for their exports from the rest of the
world. In terms of domestic exposure, we are being very selective to find some
attractive investments amongst stable businesses particularly in
infrastructure-related sectors, trading at distressed valuations but with
stable, growing free cash-flows.

19 January 2012

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.