* Inflation will probably end 2011 around 3 pct
* No need for capital controls in Mexico
* Growth 4-5 pct in 2011, around 5 pct in 2012
(Adds details)
PARIS, Jan 25 (Reuters) - Mexican Finance Minister Ernesto Cordero said on Tuesday that the government was "paying a lot of attention" to the peso currency's appreciation but he did not think controls on capital inflows would be appropriate for Mexico.
Cordero also said that data on Monday showed that Mexican inflation was cooling and that this was also helping the peso to stabilise.
The Latin American country was on track for growth of 4-5 percent this year, and "around 5 percent" in 2012, he said.
"In Mexico, the inflationary process is trending downwards and it is very probable that we will end the year in accordance with the Bank of Mexico's forecast which is around 3 percent," Cordero told a news conference.
Asked about the strength of the peso currency, he said: "It is something which we are paying attention to very carefully at the moment ... In the particular case of Mexico, the real appreciation of our currency is probably the least in the region, for many reasons but mainly because inflation in Mexico is very low."
Cordero said Mexico's export sector was not especially sensitive to currency issues as it benefited from other competitive advantages, such as geographical location, a solid skills base and low transport and logistics costs.
"It is not clear that establishing capital controls would be very effective in the medium term. In the case of Mexico, we do not think it would be very effective," he said.
Turning to France's G20 proposal for a financial transactions tax, Cordero said Mexico -- which takes over the presidency of the group in November -- was in general not favourable to this.
"We do not consider it prudent or adequate for the reality of Mexico, a country where we are trying to increase financial penetration," he said. (Reporting by Daniel Flynn; Editing by Ron Askew)