US debt deal ‘good for Italy’ says Letta

(ANSA) – Washington, October 17 – The last-minute US debt-ceiling deal, which avoided a potentially catastrophic default, is good for Italy because it will keep interest rates low for debt-laden Italy, Premier Enrico Letta told US President Barack Obama at the White House Thursday.

Italy has the second-biggest public debt in the eurozone after Greece and pays a high premium to investors for holding its bonds.

A US default would have sparked a sharp rise in global interest rates.