By Hugh Bronstein

BUENOS AIRES, July 2 (Reuters) - Argentina's creditors have 22 days to clinch a deal to revamp about $65 billion in distressed bonds, with the government willing to move up its proposed payment schedule on restructured debt to make the offer more attractive, a source said.

Pressure is building as the July 24 deal deadline looms and the government's capacity to repay its debts is battered by a long recession compounded by a lockdown that began in March against the coronavirus.

"We could advance the payment dates within the calendar years that are prescribed," said a source close to the negotiations and familiar with the government's thinking.

"Say there's a payment due in November. That could be changed to July, or something maturing in August could be changed to February. That adds a lot of value for the creditors without affecting our payment flows," the source said.

The July 24 deadline will not be extended, the source said.

"This is going to be the final offer because there's no way anything sweeter for the creditors could be paid. We have a responsibility to sustainability both for Argentina and for the international financial community."

"There is no reason to think we could offer something better at a later date. Every time we look, the government's payment capacity shrinks and demands from the creditors grow. If there's going to be an offer somewhere further down the line, it's going to be dramatically worse than this one," the source said.

A sticking point has been the idea of linking restructured bonds to future gross domestic product growth or export revenue.

"There will probably not be a value recovery instrument linked to GDP or exports, because there has been no meeting of the minds. Too much difference between price and value," the source said. (Reporting by Hugh Bronstein; Editing by Leslie Adler)