Argentina will send a negotiation team to New York for further talks with a US court-appointed mediator in its debt dispute with "holdout" investors, cabinet chief Jorge Capitanich said, with just three days left to avert a default.

Argentina has until Wednesday to either pay the New York hedge funds suing for full repayment on their bonds or reach a deal.

Otherwise, barring a suspension of the court-ordered 30 July deadline, Argentina will default for the second time in 12 years.

It was not clear from Captinich's comments when the Argentine officials would arrive in New York.