Baku, Azerbaijan - The latest draft of a climate pact revealed at COP29 has failed to be approved, triggering a race for negotiators to secure more than one trillion dollars in finances.

The UN's COP29 climate summit is set to end on Friday, as nations debate establishing a new financial target to help poorer nations finance climate change action.

On Thursday, a draft of a climate pact proposed by COP29's host country Azerbaijan sought to replace the $100 billion target that richer nations had pledged to provide to developing countries.

Azerbaijan's proposal was rejected by both developed and developing countries, with the latter (including China) pushing for a dedication of $1.3 trillion by 2030, with at least $500 billion coming from developed countries.

Major contributors, including the European Union, have insisted that the commitment is too high without the private sector carrying a larger amount of the financial burden.

Negotiators are now racing to reach an agreement, as the proposal is one of COP29's core goals and the summit is due to end on Friday. It is expected that Azerbaijan will return with an amended agreement within the day.

One of the key complaints levied at the proposed document is that it also fails to reflect the need to phase out coal, gas, and other CO2-emitting energy sources.

Australia's climate minister Chris Bowen was particularly scathing of the agreement, saying that it had "hidden, pared back or minimized" references to fossil fuels.

EU climate commissioner Wopke Hoekstra didn't mince words either, calling the agreement "imbalanced, unworkable and unacceptable."

Tense negotiations are now underway to establish a new target for climate financing at a COP29 that has been weighed down by controversy and scandal, oil execs, and carbon capture lobbyists.