Keatley contributed 14 points in a perfect kicking display as Ireland beat the Azzurri 26-3 in Rome.
However, with Jonathan Sexton waiting in the wings and vying for a starting berth against France this coming weekend, Keatley's position in the side is far from guaranteed.
Yet Walsh says Keatley - who has made 11 GUINNESS PRO12 appearances for Munster this season - did more than enough to give Ireland head coach Joe Schmidt a selection headache.
"I am delighted for him. There's always lots of conjecture about who is your best No.10 and this, that, and the other, but I think the fact that Joe (Schmidt) saw the merit in starting him in such an important game shows that there are people out there that see his value," Walsh told the Irish Examiner.
"I think Ian did particularly well in a pressurised situation knowing that (Jonathan) Sexton was coming back the week after and he mightn't get another chance if it didn't go well.
"I thought he settled after the first few minutes when it could possibly have gone the other way and he showed great mental strength in what was a tough fixture.
"Ireland stuck to their structure and got what they wanted and given the injuries Ireland had as well, and some of the ball carriers that are out of their squad, it was never going to be that easy."
Follow us on Facebook, join the conversation on Twitter, sign up to our YouTube channel for extensive match highlights and sign up for our newsletter for regular updates on the GUINNESS PRO12
Guinness PRO12
Suite 208, Alexandra House,
The Sweepstakes
Ballsbridge, Dublin 4, Ireland