India has been the hot new place for United States venture investors for a couple of years now, attracting billions of dollars in venture capital. Are there enough promising companies to use all that cash?

Yes, said Parag Saxena, who runs the biggest venture fund on the Indian subcontinent. In an interview in his New York office, he said that the opportunities in India and Southeast Asia had improved greatly over the last year.

As details of Treasury Secretary Henry Paulson’s plan to revive the U.S. financial system by pumping as much as $700 billion into the markets emerged Sept. 19, bond investor Michael Cheah was reminded of Japan.

When that country’s real estate bubble burst, leaving a trail of bad real estate loans, officials flooded the economy with cash only to see banks hoard the money instead of lending it out. The result has been a series of recessions and persistent deflation for more than a decade.